Insurtech Zego Expands Partnership with RSA to Provide Cover for UK Van Fleets

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London-based insurtech Zego has expanded its partnership with RSA Insurance to provide flexible cover for van fleets.

Zego is offering usage-based policies to delivery, courier or trade van fleets of 20-200 vehicles in the UK – reducing upfront costs for these businesses.

With a Zego usage-based policy, a van fleet owner whose vehicles are not on the road will never pay more than a base subscription rate. Additionally, if the business experiences a sudden increase in demand, its costs are capped so that it will never pay more than an agreed limit.

This flexible approach means that a customer’s insurance costs align with its workload and revenue, explained Zego.

“We have been working in partnership with RSA to deliver flexible policies for individual drivers for the past few years, and I am thrilled that we’ve been able to build on this partnership to provide cover for van fleets,” said Gianluca Uberti, director of Enterprise, Zego.

Zego is now offering van fleet owners “access to a unique insurance product, which provides them with truly flexible, usage based insurance, at a fair price,” Uberti added.

The partnership combines RSA’s expertise in delegated authorities with Zego’s passion for creating flexible insurance solutions for customers, said John Dawe, partnership director of RSA Delegated.

RSA is not providing Zego with capital, just its Standard & Poor’s “A” rating, which allows Zego to sell its van fleet product at scale, said a Zego representative, who explained that many fleets require a UK-based “A”-rated insurer. The two companies first partnered in 2018 to offer pay-as-you-go insurance for part-time courier and parcel delivery drivers.

Founded in 2016, Zego is an insurer specializing in flexible insurance for new mobility and fleet service providers, offering customized policies to gig economy workers and partnering with companies such as Uber and Deliveroo. The company also provides a wide range of flexible B2B insurance products for fleet businesses and new mobility services such as car sharing, car leasing and e-scooter platforms.

In November 2019, Zego became the first UK insurtech to gain its own insurance license, enabling it to build and sell its own policies. Zego is a trading name of Extracover Ltd., which is authorized and regulated by the UK Financial Conduct Authority.

Source: Zego

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