Navigation system with compliance reporting and method of operation thereof

A method of operation of a navigation system comprising:

• collecting a driving behavior for determining a driving profile of a vehicle;
• acquiring a compliance indicator for measuring a total usage of the vehicle;
• calculating a compliance level based on the monitoring usage level and the compliance indicator,
• identifying an assessment event based on the driving behavior and a driving assessment rule;
• generating a driving score based on the driving profile having the assessment event;
• and
• calculating a driving rating based on the driving score and the compliance level for displaying on a device.

A navigation system comprising:

• a data collection module for collecting a driving behavior for determining a driving profile;
• a compliance module, coupled to the data collection module, for acquiring a compliance indicator;
• a calculate compliance level module, coupled to the compliance module, for calculating a compliance level based on a monitoring usage level and the compliance indicator;
• a scoring module, coupled to the compliance module, for generating a driving score based on the driving profile having an assessment event detected based on the driving behavior;
• and
• a calculate driving rating module, coupled to the scoring module, for calculating a driving rating based on the driving score and the compliance level for displaying on a device.