03 Jun 2020
Posted in Insurance
Zego’s flexible on-demand and telematics-drive fleet policies are ideal for current conditions, says GlobalData
Zego has expanded its fleet partnership with RSA due to the increased demand for deliveries with the company’s on-demand and telematics-drive policies proving to be exactly what customers need during this pandemic, says GlobalData a leading data and analytics company.
The Insurance Times stated that the spike in courier fleets and delivery during lockdown has led to an expansion of this partnership, with Zego offering usage-based policies to delivery, courier and trade van fleets of 20-200 vehicles, in the UK.
GlobalData’s thematic companies scorecard recently ranked Zego as one of the few players who could see a moderate positive impact during the pandemic. This was because, as expected, demand for gig economy-style products was set to increase.
GlobalData insurance analyst, Ben Carey-Evans, commented: “Flexible, digital and on-demand policies are well-suited to the current climate, where businesses will struggle to plan much beyond the immediate future. It is very difficult to predict how long the lockdown will continue for in its current form, so for businesses to be able to insure their delivery vehicles on-demand is ideal. It allows them to expand coverage in the short-term, without having to worry about being overinsured if demand for deliveries drops once lockdown fully ends.”
By Miles was also predicted to see a moderate positive impact, as its pay-as-you drive policies allow consumers to save money while travel restrictions are still in place. These start-ups are also not present in liability business or travel lines, where insurers are feeling considerable pressure at the moment.
GlobalData’s senior insurance analyst, Daniel Pearce, commented: “Our scoring system identifies which companies are exposed in both product lines and high risk countries, due to COVID-19. We believe that start-ups, offering flexible, consumer friendly policies stand to benefit in the short-term, as consumers and businesses will only want to pay for what they need. ’’