By Miles, a pay-as-you-go car insurance platform, has netted £1m in funding, a week after its launch in the UK.
Venture capital fund from the innocent drinks founders JamJar Investments led the investment. Other investors participating included insurance-focused incubator InsurTech Gateway and Jaguar Land Rover’s VC firm InMotion Ventures.
By Miles charges a car owner a fixed annual fee to cover the vehicle while it is parked, they are then also billed monthly based on the number of miles they have driven. The target market is for drivers that travel under 7,000 miles in a year or 140 miles a week. The company also informs riders of how much a journey costs to let them decide if it’s worth driving or taking other transport.
Annual insurance charges for parked cars starts at £150 and driving is priced at 3p per mile, with charges varying depending on the car, and driver experience. Customers are given a matchbox-sized Miles Tracker device to plug into their car, which tracks the distance and automatically relays it to the smartphone.
Cover included is no claims discount protection, personal accident cover, courtesy cars, uninsured driver cover, misfuelling cover and replacement key cover.
This round of funding will be used to improve the current app’s features.
JamJar Investments co-founder Jon Wright said, “As soon as we heard about By Miles, we knew we wanted to get involved. Although car insurance is not exactly a purchase everyone looks forward to making, the team at By Miles are changing that: their pricing is smarter, their customer service better, and their app gives you useful driving tools as well as a policy with added benefits. They’re set to shake up the car insurance market.”
Earlier in the week, fellow pay-per-mile insurance car insurance platform Metromile bagged $90m in its Series E funding round.
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