Zego, here is the insurtech to insure gig economy workers

‘Pay as you go’ policies managed through a mobile app is the project of a London startup that has taken on a new business opportunity in on-demand economy

02 Nov 2018

Zego in one of twenty UK fintech startups listed by Fintech Global in its The Insurtech100 this year. Established in London, this insurtech startup has raised a million pounds of investment in 2017, as TechCrunch reports, and aims at solving a problem affecting companies like Deliveroo and Uber, two of the major on-demand economy companies that, in the field of home-delivery meals, and transport of persons respectively, have revolutionized, among other things, the ways in which their employees work, since not being employees but freelancers, for which it is often a second non-professional job, there is also an insurance problem among others.

Traditional policies are in fact not sufficiently flexible for gig economy workers, whose performance is totally free from traditional schedules; but above all, in carrying out transport and delivering these workers should legally have a commercial insurance cover, and this does not always happen since such insurances are usually expensive.

A problem that has been resolved by Zego, founded by former employees of Deliveroo, through a technological platform for the distribution of insurance products according to the pay as you go model, ie the policies offer coverage (and therefore are paid) only when needed, that is when the person actually starts to work. All through a mobile app, equipped with a virtual assistant, a sort of technological broker that allows people to find the formula that best suits their needs. Zego is not a company, so it makes use of collaboration of industry players.

The formula should allow gig workers to work with a proper insurance coverage, but in a sustainable monetary way, as one of the founders of BusinessInsider explained.

Last July Zego launched a new product: underwritten by MGAM Limited on behalf of Builders Direct SA, the public liability insurance covers up to £1 million in claims. It is available on an hourly, daily, weekly, monthly, or annual basis.

“We thought it was wrong that if I wanted to do a couple of hours work on the side I’d need an annual policy, so decided to do something about it. Insurance had to change.” said Zego chief executive Harry Franks to Insurance Business UK.

A pay as you go policy is also that of the Scottish insurtech Cuvva, (described here), designed for the consumer market but for the needs of private subjects. Zego stands out for being addressed to the consumer world but for commercial needs.

All rights reserved

Valuta questo articolo

La tua opinione è importante per noi!

Articolo 1 di 3

This site is registered on wpml.org as a development site. Switch to a production site key to remove this banner.