Novo Safety Program Terms & Conditions

01.

ACCEPTANCE

These Novo Safety Program Terms and Conditions (the "Terms"), together with the Novo Insurance Privacy Policy, Telematics Policy, and Terms of Use shall govern participation in the Novo Safety Program by you ("You" or "Your") and drivers of your vehicle(s) ("Participants") for the vehicles which are enrolled in the Program (as defined below). The program collects driving data through one or more available sources, which may include technology embedded in the vehicle, sensors on a mobile device, or Bluetooth-enabled technology, which is then analyzed to assess crash risk and assign a safety score based on how You and Your Participants drive. The safety score is used then, among other factors, to determine Your insurance premium (the "Novo Safety Program" or "Program"). Please read the following terms and conditions carefully. By participating in the Novo Safety Program, You agree to be bound by the terms and conditions contained in these Terms. If You do not agree to these terms and conditions, then You are not entitled to participate in the Program. Novo Insurance, LLC ("Novo") reserves the right to amend, waive, modify or supplement these Terms at any time. If we significantly change these Terms, we will inform You of such change. The current version of these Terms is available here. Your continued participation in the Program will constitute Your acceptance of the modified terms and conditions.

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02.

PROGRAM DESCRIPTION

2.1 THE PROGRAM. Capitalized terms used in these Terms have the meanings set out in the Terms of Use, Privacy Policy, and Telematics Policy unless otherwise defined herein.

• The Novo Safety Program allows You to potentially save money on Your insurance premium based on Your and Your Participants' actual driving habits. Depending on Your selected participation variant, Your vehicle's Safety Score may be used to adjust Your premium monthly, at renewal, or not at all. See "PROGRAM VARIANTS" below for details.

• Depending on the data collection method available for each enrolled vehicle, embedded vehicle technology, a mobile application, or Bluetooth-enabled technology collect telematics data. The collected data will be analyzed to create a safety score, which may result in a rate adjustment for vehicles enrolled in the Program and covered under Your insurance policy. Eligible vehicles may participate using in‑car technology, which collects data directly from the vehicle’s sensors. For vehicles not eligible for in‑car technology, participation may occur through the mobile application, which gathers data from mobile device sensors in conjunction with vehicle data retrieved either (a) via third-party platforms like Smartcar or (b) via Bluetooth connectivity with the vehicle. For a vehicle that has none of these connected-vehicle data sources available (no in-car technology, no supported third-party vehicle-data platform, and no Bluetooth pairing), the vehicle may still be eligible to participate on a mobile-only basis, using mobile device sensor and location data alone to detect trips and generate a Safety Score, in accordance with Company guidelines. Because a mobile-only enrollment cannot independently confirm which vehicle a trip belongs to, a Safety Score generated this way may be based on data that is not exclusive to the enrolled vehicle. For a mobile-only enrollment, the trips used are all trips detected by the mobile device, in any vehicle, and are assigned to the vehicle that the driver is expected to drive most frequently. Trips on which You were not operating a motor vehicle (for example, travelling as a passenger) may be captured; Novo applies reasonable detection measures and makes available a function allowing You to indicate that such trips should be excluded. All trips that are not excluded are used to generate the Safety Score. Bluetooth pairing remains the standard method of enrollment and of trip attribution and continues to apply wherever Novo requires it. Mobile-only participation applies in two situations: where the vehicle is not capable of Bluetooth pairing, and where Novo does not require Bluetooth pairing for the enrollment concerned. In the second situation a vehicle that is capable of Bluetooth pairing may be enrolled and scored on mobile device sensor and location data alone, and the attribution limitation described above applies to that vehicle in the same way.
• Regardless of the method used, the Program collects and analyzes data to assess crash risk and assign a Safety Score based on driving behavior. Safety Scores are assigned at the vehicle level and reflect the driving behavior of all drivers of the enrolled vehicle. Depending on Your selected participation variant, the Safety Score may be used to adjust Your premium monthly (Novo Flex), considered at renewal (Novo Next), or used for educational purposes only (Novo Classic). See Section 3.2 for details on how Safety Scores are applied.

• The Program's combination of advanced telematics technology, whether in-car or mobile, ensures accurate data collection, fair scoring, and a clear linkage between driving behavior and Program outcomes. Please carefully review the following terms and conditions to fully understand how the Program operates, its requirements, and how Your participation may impact Your insurance premiums.

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2.2 PROGRAM VARIANTS. Novo offers multiple participation options within the Program. The Program variant you select determines when and how your vehicle-level safety score may affect pricing. Program availability, eligibility and rating effects may vary by state and are subject to regulatory filing/approval where required. Unless otherwise noted, the Telematics Policy governs telematics mechanics and data collection, the Privacy Policy governs personal information, and the Terms of Use governs platform usage and communications.

• Novo Flex (Monthly Variable). Safety scoring may adjust a variable portion of the policy premium on a monthly basis in accordance with filed Program rules. An enrollment score may be used until sufficient telematics data exists to establish a safety score, after which monthly adjustments follow the notice practices described in these Terms.

• Novo Next (Fixed Participation). Telematics data is collected throughout the policy term; however, the policy premium remains fixed during the term. The most recent safety score may be used at renewal in accordance with filed Program rules.

• Novo Classic (Data Sharing Participation). Telematics data is collected for educational, analytics and product-improvement purposes and does not affect premium. Any non-pricing features associated with this option are described in the Apps, subject to the Privacy Policy.

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• Notes: (a) Safety scores are assigned at the vehicle level and reflect the driving behavior of all drivers of the enrolled vehicle; (b) participation requirements, eligibility criteria, notice periods, and any impact on premium are governed by filed Program rules and may vary by state; (c) capitalized terms have the meanings set out in the Terms of Use, Privacy Policy, and Telematics Policy.

• The non-policyholder Novo Test Drive (NTD) trial is described separately below and is distinct from Program participation by policyholders.

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2.3 NOVO TEST DRIVE (NTD). NTD is a no-obligation, non-policyholder trial that allows eligible individuals to preview safety scoring and, where available, request an insurance quote. For clarity, NTD is not a Program or a Program variant (or part of it) and does not provide insurance coverage and does not require purchase. NTD availability is expanding on a state-by-state basis (initially Arizona, with Texas and other states added as disclosed in the Apps); residents of states where NTD is not yet available will be informed of their ineligibility and may be offered a waitlist.

Minimum Trial Activity. To generate a meaningful NTD score, participants should complete at least five (5) trips and two hundred (200) miles within an evaluation period of approximately thirty (30) days, using the mobile application with required device permissions (e.g., Bluetooth, location, motion) enabled.

Transition to Policy. If you bind a policy after NTD, the first-month score applied to the newly insured vehicle may be capped using NTD raw scores, after which the Program's filed rules (including the selected participation option, if applicable) will govern subsequent scoring and rating.
Promotions and Referrals. Any referral or reward activity associated with NTD (if offered) is governed by the Terms of Use (Referrals & Rewards) and applicable law;except for the Novo Referral Program described in Company underwriting guidelines — under which a referring policyholder's reward is contingent on the referred individual completing a bindable quote through the Company's designated referral channel, but is never contingent on that individual purchasing a policy or remaining insured — other incentives, if offered, are not contingent on obtaining a quote, purchasing a policy, or remaining insured.

Telematics mechanics and data collection for NTD are described in the Telematics Policy; processing of personal information is described in the Privacy Policy. NTD availability, eligibility, and features may vary by state and are subject to change or regulatory approvals where required.

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2.4 PROMOTIONS / REFERRALS. This document does not grant or describe specific incentives. Any referral or reward offering (if available) is governed by the Terms of Use (Referrals & Rewards) and applicable law. Incentives, if offered, are not contingent on obtaining a quote, purchasing a policy, or remaining insured, and may be void where prohibited. Program availability, eligibility, caps, fulfillment (e.g., third-party gift card providers), tax reporting, and fraud/abuse controls are as disclosed in the Apps and the Terms of Use.

Unless otherwise disclosed in the Apps, referral activity (if offered) is limited to the Novo Test Drive (NTD) experience and is not available to policyholders for Program participation. External consumer‑facing references use "Novo Test Drive" for the trial experience.

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03.

ENROLLMENT & ELIGIBILITY

3.1 PROGRAM ENROLLMENT. The Program is open to Novo policyholders at any time during the term of the policy. To participate in the Program, You must:

• Have an approved data collection method enabled for the vehicle(s) covered under Your insurance policy, which may include embedded vehicle technology, a mobile application, or Bluetooth-enabled technology, and grant necessary permissions for data collection; or, for a vehicle without such technology or connectivity, meet Novo's guidelines for using mobile application driving data alone to determine a Safety Score for that vehicle, or, where Novo does not require Bluetooth pairing for the enrollment concerned, meet those same guidelines irrespective of whether the vehicle is capable of Bluetooth pairing;

• Accept these Terms and the Privacy Policy, Telematics Policy, and Terms of Use;

• Provide Novo with a valid email address;

• Install the company designated mobile application;

• Meet the minimum Program vehicle and technical requirements as described herein.

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You must drive a minimum of five (5) trips and fifty (50) miles in an evaluation period, generally thirty (30) days, in order to meet the minimum data requirements for the connected vehicle(s) in the Program (the "Minimum Scoring Requirement"). For the first two (2) months of Program participation, the policy rate will be determined using either (i) an enrollment score, if there is insufficient telematics data available to determine your safety score while purchasing the policy; or (ii) a safety score, if there is an adequate amount of telematics data available to determine your safety score. From the third month of Your participation in the Program onwards, Your monthly policy rate will be based on Your safety score during a prior Program participation period. For example, your policy rate for the third month in the Program, will be based on your safety score calculated during the first month of Program Participation and your policy rate for the fourth month in the Program, will be based on your safety score calculated during the second month of Program Participation (this month-lag pricing methodology applies to the Novo Flex variant. For other variants, see Section 3.2). In order to remain active in the Program, you must drive the enrolled connected vehicle(s) to meet the Minimum Scoring Requirement. If you do not fulfill the Minimum Scoring Requirement, Your policy rate will be adjusted.

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3.2 APPLICATION OF SAFETY SCORE.

• Novo Flex (Monthly Variable). When a Safety Score is available for an enrolled vehicle, a variable portion of the premium may be adjusted monthly in accordance with filed Program rules and state approvals. If a Safety Score is unavailable for a given period, an enrollment, neutral, or prior score may be applied as described in Section 3.3 (Insufficient Data & Defaults).

• Novo Next (Fixed Participation). Telematics data is collected during the policy term; however, the premium remains fixed during the term. The most recent Safety Score may be considered at renewal in accordance with filed Program rules and state approvals.

• Novo Classic (Data Sharing Only). Safety Scores are provided for educational or product-improvement use; they do not affect premium.

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3.3 INSUFFICIENT DATA & DEFAULTS. If the Minimum Scoring Requirement for an evaluation period is not met, or if telemetry cannot be validated for reasons such as disabled permissions, device/vehicle incompatibility, or connectivity issues, the Program may apply a neutral, prior, or non-fulfillment factor consistent with filed Program rules and applicable state approvals. Program removal may occur where persistent non-fulfillment is detected after required notices.

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3.4 POLICY TRANSITION VIA NTD. If You bind a policy after participating in Novo Test Drive (NTD), the first month's application may be capped using NTD raw scores, after which the Program's rules (including Your selected participation option) govern subsequent periods. NTD itself is not insurance and is not a Program or a Program variant.

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3.5 PARTICIPATION OPTIONAL. The Program is offered on an optional "opt in" basis and You may discontinue Your participation in the Program at any time, but please be aware that discontinuing Your participation may result in an adjustment to Your policy premium. Please see further information in Section 6 below on how to discontinue Your participation in the Program.

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3.6 SIGNAL INTEGRITY; INSUFFICIENT DATA. Maintaining required device permissions and connectivity (e.g., Bluetooth pairing with the vehicle and location/motion services) is necessary for telematics data capture. If permissions are disabled, pairing is incomplete, or data cannot be collected or transmitted due to connectivity, device, or vehicle constraints, the Program may be unable to validate trips or calculate mileage/score. In such cases, the policy may be subject to default scoring, non-fulfillment handling, or other filed Program outcomes after required notice periods. Technical specifics for data collection and compliance are further described in the Telematics Policy.For a vehicle enrolled on a mobile-only basis under Section 3.1, references in this Section to Bluetooth pairing do not apply; location/motion services and App engagement remain required. This applies equally to a vehicle that is capable of Bluetooth pairing but was not required to pair.

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3.7. CONNECTIVITY DISCOUNT. Subject to filed Program rules and applicable state approvals, Novo may apply a connectivity discount to an enrolled vehicle. The connectivity discount replaces the new business NSP participation discount previously applied at enrollment only, and may be retained at renewal depending on eligibility.

• Base discount. For Novo Flex and Novo Next, a base discount of five percent (5%) applies automatically during the enrollment period, being the first two (2) months of participation for Novo Flex and the first policy term for Novo Next. For Novo Classic, a base driving insights discount of ten percent (10%) applies automatically for the full first policy term.

• Tiering. After the enrollment period, the discount is tiered on the basis of (i) the percentage of time the drivers of the enrolled vehicle meet Novo’s connectivity guidelines and (ii) the time elapsed since the last verified trip.

• Vehicle level. The connectivity discount is determined at the vehicle level, based on the connectivity of all drivers eligible to be rated for the enrolled vehicle, consistent with the vehicle-level scoring described in Sections 2.1(c) and 3.2.

• When the discount changes. For Novo Flex, connectivity begins to vary after the two (2) month enrollment period, and Your current score is applied each month from that point. For Novo Next and Novo Classic, connectivity is assessed at renewal and the applicable tier is applied at that time. At renewal You may retain the base discount, or receive a reduced discount or no discount, depending on the household connectivity percentage and the time of the last verified trip.

• The connectivity discount is not guaranteed. Its availability, amount, tiers and eligibility criteria are governed by filed Program rules, may vary by state, and may change in accordance with Section 7.

• Where Novo does not require Bluetooth pairing for an enrollment, connectivity is assessed on the basis of the data sources actually used for that enrollment, and the absence of a Bluetooth pairing that was not required is not treated as a failure to meet the connectivity guidelines.

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04.

PROGRAM PARTICIPATION

4.1 When You elect to participate in the Program, You agree to:

• Keep the approved embedded data collection and communications technology or mobile application associated with your connected vehicle(s) active and in good working order for the duration of your participation in the Program. This includes ensuring that all required permissions and connectivity settings remain enabled to allow the uninterrupted collection and transmission of telematics data. For the mobile application-based Program, this includes maintaining Bluetooth connectivity with the vehicle; for a vehicle enrolled on a mobile-only basis, Bluetooth connectivity is not required, but location and motion permissions and App engagement must remain enabled;

• Preserve all driving data collected through the Program in the event of an accident, as such data may be subject to lawful requests or subpoenas. This data could be required by your insurance carrier, their legal representatives, other parties involved in the accident, or their respective insurers and legal representatives for investigation or litigation purposes.

If You do not initiate collection of Data (as defined in Section 5 below) via the approved embedded data collection and communications technology or mobile application following Program enrollment, You will be assigned a "non-fulfillment" score and Your connected vehicle(s) premium(s) will be adjusted beginning in month 3 of your policy. The Program requires consistent and valid data collection, which relies on properly functioning in-car telematics systems or mobile sensors and adequate data transmission to maintain eligibility for discounts and ensure accurate pricing.

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4.2 PROGRAM INTEGRITY.

• HONEST TELEMETRY. You agree not to interfere with or attempt to evade telematics monitoring. Prohibited conduct includes, without limitation: (1) GPS, Bluetooth, or sensor spoofing; (2) use of rooted/jailbroken devices or other methods intended to impair data capture; (3) misattribution of trips to other users or vehicles; (4) disabling required device permissions (e.g., Location, Motion/Activity, Bluetooth) or vehicle pairing for the purpose of avoiding monitoring; and (5) tampering with in-car systems or mobile app telemetry.
• INTEGRITY SIGNALS; REVIEW. Novo may review telemetry integrity signals (e.g., inconsistent device/vehicle pairing, anomalous sensor patterns, or repeated permission disablement) to validate eligibility and scoring.
• CONSEQUENCES. Violations of this Section may result in Program removal, application of non-fulfillment or neutral scoring, denial of Program discounts, and/or other outcomes permitted under filed Program rules and applicable state approvals, in addition to any rights and remedies described in the Terms of Use. Nothing in these Program Terms limits rights or obligations under the Privacy Policy, the Telematics Policy, or the Terms of Use.

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05.

DATA COLLECTION, USAGE & DISPUTED DATA

The data categories listed below are illustrative and non-exhaustive. The definitive description of telematics data categories, purposes, and retention resides in the Telematics Policy and the Privacy Policy. In the event of any discrepancy, the Telematics Policy and Privacy Policy control. Before and during your participation in the Program, data will be collected to support its functionality, including but not limited to the following categories of data related to you, the Primary Named Insured ("PNI") driver, and/or any guest or non-PNI drivers which together constitute a non-exhaustive representation of the Data used in the Program (the below is collectively referred to as "Data"):

• Contact and identification information, such as: name, surname, address, unique personal identifiers, email address, account username and password, telephone number, insurance policy number, account name, non-PNI drivers contact data (e.g., email), social security number, signature, gender, driver's license number, physical characteristics, consumer status, and other similar identifiers.

• Driving and claims history, including information about any prior accidents or insurance claims.

• Vehicle information, such as a vehicle identification number (VIN), plate number, odometer, model, year of manufacture, and/or other relevant vehicle details, might be collected to determine the vehicle's eligibility for participation in the Novo Safety Program. This data shall be necessary to validate compatibility with the Program's technical requirements, ensure proper enrollment and facilitate the accurate calculation of insurance rates and program benefits.

• Medical information, such as details involving the injuries sustained in a car accident, as well as health insurance information.

• Commercial information about consumer transactions and experiences with us and others, such as payment history, claims, coverage and vehicle changes.

• Mobile app usage and device information, such as: Acceleration, Gyroscope, Motion activity data Status of app permissions, such as location access and activity tracking.

• Location data. Location data is used both for general functionality (such as finding a nearby point of interest) and, centrally, to detect trips, attribute them to an enrolled vehicle (including, for mobile-only enrollment, as the primary attribution signal), and calculate driving behavior and Safety Scores used in underwriting and pricing.

• Audio, electronic, visual, or similar information, such as recorded statements, photos of damaged vehicles, videos of accident locations, and calls made to our customer service centers, which may be recorded.

• Ownership data, such as: How many vehicles you own, Primary use, Who owns the car (whether it's you, or your company for example), Who is (or will be) the registered keeper, When the car was bought, Your rough annual mileage.

• Bluetooth data, such as: Bluetooth ID, MAC address, connection timestamps, disconnection timestamps, and Bluetooth signal strength to determine proximity to the vehicle. This category does not apply to a vehicle enrolled on a mobile-only basis, which instead relies on the mobile device sensor and location data described above.

In addition to collecting data across various categories, we may also derive additional information through analysis and processing of the collected data. This may include insights such as driving patterns, behavioral trends, safety metrics, and other analytics that help assess driving risks and behaviors. Derived data also includes connectivity metrics, such as the percentage of time the connectivity guidelines are met and the time elapsed since the last verified trip, which are used to determine the connectivity discount described in Section 3.7, and, for mobile-only enrollment, the trips You indicate as not driven by You.

The risk variables are used by Novo to a) derive a safety score and b) estimate annual mileage driven. If available, Your safety scores and/or estimated annual mileage for each enrolled vehicle will be used to determine the rate that will be applied to Your policy for a monthly period as described in Section 3.2 above.

In the event of a detected crash and to facilitate the claims process, we may utilize relevant data from the categories already collected, such as GPS location coordinates (latitude, longitude, altitude), impact metrics like vehicle speed, date and time of day, and driver activity preceding the crash, to analyze the circumstances of the event and facilitate an efficient claims process.

In the event you believe there has been an error in calculating your safety score and/or you believe a false crash event has been detected, you may contact Novo to register a dispute by contacting Novo's Customer Service Representatives at 1-866-862-7757.

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06.

PROGRAM WITHDRAWAL & REMOVAL

Participation in the Program is strictly voluntary. You may withdraw from the Program at any time by contacting Novo's Customer Service Representatives at 1-866-862-7757 or optout@novo.us.

In the event that your policy is canceled due to non-payment or other administrative reasons not initiated by You, data collection and monitoring will continue for an additional 30-day continuity period following the policy cancellation date. This ensures that if payment issues or administrative challenges are resolved within this timeframe, your participation in the Program can seamlessly resume without requiring additional steps to reactivate tracking, such as re-consent or re-enrollment. This continuity simplifies the process for reinstating your policy, maintains your eligibility for Program benefits, and ensures uninterrupted access to personalized insurance premiums and driving insights. However, in cases where you explicitly request to opt out of the Program or expressly revoke your consent for telematics data collection, we will immediately cease collecting telematics data from your vehicle and mobile application. By agreeing to these terms, you acknowledge and consent to these provisions, ensuring your telematics data is managed responsibly in alignment with your preferences and applicable laws.

If You "opt out" of the Program, You will be assigned a) a "non-fulfillment" score or b) Your last established score for insurance pricing on Your current and/or renewal policies from Novo and may have Your insurance rate adjusted. For the mobile application-based Program, disabling Bluetooth connectivity with the vehicle may prevent Novo from obtaining sufficient information to price Your policy based on Your driving behavior and may result in an adjustment to Your policy premium.

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07.

PROGRAM MODIFICATION

Novo reserves the right to amend, waive, modify, or supplement the terms of the Program at any time for any reason. If Novo significantly changes the Program, we will inform You of such change.

Novo retains the right to update our application of safety scoring criteria and our interpretation of the safety score over time based on factors Novo files with Your state's department of insurance. These updated scoring criteria will be used to make underwriting decisions and provide Your insurance rate at renewal. Additionally, Novo reserves the right to expand Program capabilities to include new data sources, updated vehicle eligibility rules, and enhancements to Program features, including compatibility with additional telematics platforms or vehicles.

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08.

SAFE DRIVING

The Program is designed to encourage You to drive safely. Therefore, please do not interact with the embedded data collection and communications technology or mobile application while Your vehicle is in motion. Additionally, ensure that all drivers associated with vehicles enrolled in the Program comply with traffic laws and regulations.

Participants are reminded that the Program collects telematics data to assess driving habits, including hard braking, excessive speed, acceleration and nighttime driving. Safe driving practices contribute to a better safety score, which may positively impact Your insurance premium. By driving responsibly, You and other drivers associated with Your policy can maximize the benefits of the Program.

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09.

COMMUNICATIONS; SMS; E-SIGN

• NSP Communications. During Your participation in the Program, Novo may send Program-related information and reminders via in-app messaging, email, or text (SMS), including service communications about setup, telemetry status, scoring availability, and billing timing.

• SMS Terms. Any text (SMS) terms—including opt-in/opt-out (e.g., STOP/HELP), carrier disclosures, frequency and delivery caveats—are governed by the Terms of Use and applicable law.

• E-Sign Consent. Electronic delivery/consent (including hardware/software requirements, withdrawal of consent, and retention of records) is governed by the Terms of Use.

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10.

PRIVACY AND DATA USAGE

Protecting Your privacy is core priority for Novo. Novo takes our obligation to safeguard and secure Your personal information very seriously. Along with our technology partners, we follow strict data security and privacy protocols to protect Your information. The information collected under the Program is used to provide insights, calculate safety scores, assess crash risks, and determine insurance premiums. Data may also be used to facilitate claims processing and improve the Program's features. Novo will not disclose Your information except as described herein and as described in the Privacy Policy and Telematics Policy.

For detailed information on how Novo collects, uses, and protects Your data, refer to the Privacy Policy and Telematics Policy. This includes data collected through Bluetooth connectivity for the mobile application-based Program. If You have questions regarding Your privacy, please contact Novo at privacy@novo.us.

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11.

ORDER OF PRECEDENCE; DISPUTE RESOLUTION

• Order of Precedence. In the event of any conflict among policies:
  
  • (a) For Program eligibility, evaluation periods, scoring, and rating mechanics, these NSP Terms control.
  • (b) For telematics data categories, purposes, sharing, and retention, the Telematics Policy controls.
  • (c) For platform usage, accounts, communications (including SMS) and E-Sign, the Terms of Use control.
  • (d) For privacy rights and choices, the Privacy Policy controls.

• Dispute Resolution. Dispute resolution, arbitration, and class-action waiver are governed by the Terms of Use. The arbitration terms are incorporated by reference and not restated here.

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