The insurer has entered a five-year agreement for a usage-based insurance model with By Miles after observing a shift in consumers driving patterns during the pandemic and as lockdown unwinds 

Zurich UK has revealed a new partnership with By Miles in usage-based insurance.

It will see Zurich from this month onwards underwrite its motor policies under an agreement spanning five years.

The partnership is part of Zurich’s wider strategy, where it says it has set out to work with distributors who offer innovative and scalable propositions.

It also reinforces the insurer’s commitment to sustainability by targeting customers with lower mileage, which has been seen in the shift in consumers’ driving habits over the course of the pandemic and the UK’ s lockdown.

Phil Ost, head of personal lines at Zurich, said: “We’re delighted to be partnering with By Miles. As well as being impressed with their innovative proposition and high level of customer experience for what is an under-served segment, it is their ability to deliver on their plans since launching in 2018 that really stands out.”

It follows By Miles’ policy sales soaring in May as drivers turned to more flexible car insurance policies as they were driving less during lockdown, and more recently calling on insurers to “do more” to support drivers that are on the roads less post-Covid-19. 


“An alternative, usage-based solution is more important now than ever, as we see a clear shift in how consumers will use their cars post lockdown,” Ost added. ”And in incentivising those who drive fewer miles, the partnership with By Miles is a firm reinforcement of our commitment to sustainability.”

By Miles offers real-time pay-per-mile insurance and its policies are aimed at those who drive less than 7,000 miles a year.

James Blackham, chief executive and co-founder of By Miles, said: “We’ve seen demand for our pay-by-mile policies continue to increase as UK drivers, understandably, look for more flexible insurance cover that better fits their needs post-lockdown.

”Having had our strongest ever sales month in July, this partnership will support our continued growth.”


Speaking about the partnership, Blackham added: “Zurich are a highly experienced insurer with an outstanding record for claims expertise, boasting a 99% payout rate on claims in 2019. Partnering with Zurich will give our members the peace of mind that they’ll be protected by the best if the worst happens.”

By Miles’ customers get comprehensive cover but pay a low fixed amount up front to protect their car whilst it is parked against theft, accidental damage and vandalism. In addition to this they pay a monthly charge, which can vary depending on how many miles they drive.

All policies also include No Claims Bonus protection at no extra cost. Its smartphone app measures journeys using a self-fitted matchbox-sized telematics device called a Miles Tracker, which enables drivers to instantly see the cost of each trip.

In addition to accessing their own trip cost data, the app has live chat support for its customers, and self-service policy changes with no admin fees.

It also has a growing range of additional services, which includes a find my car tool, diagnostics scanner, and friendly reminders if you have crossed over into an Ultra-Low Emissions Zones (ULEZ) or a Congestion Charge zone while driving.

Read more…Insurance concerns peak as London Mayor taps micromobility for green Covid-19 exit strategy 

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