New policy could ‘revolutionise’ insurance
Cuvva will launch a new type of insurance aimed at infrequent drivers that it says will ‘revolutionise the sector’.
It plans to charge drivers a monthly subscription of between £10 and £30 to cover their car while it is parked, with drivers then topping up their premiums via an app when they drive, from about £1.20 an hour.
Freddy Macnamara, founder of Cuvva, told Insurance Age, ‘Technology has changed so many industries and given consumers cheaper, more convenient alternatives. Yet car insurance continues to be opaque and inflexible, costing some people a lot more than it should.
‘Whether it is borrowing a car from a friend for a short period of time, or owning a car that you don’t drive much, many people get an unfair deal when it comes to car insurance.’
According to the Department for Transport and Driver and Vehicle Licensing Agency figures, there are around six million cars in the UK that are driven very infrequently. Cuvva says this policy is aimed at motorists who driver fewer than 4,000 miles a year.