Root Insurance Partners with Lyft to Reinvent Claims Experience, Announces Rental Coverage
COLUMBUS, Ohio (PRWEB) July 06, 2017
Root, the first insurance company founded on the principle of fundamental fairness, today announced rental coverage in partnership with Lyft. For policyholders with short-term needs for alternate transportation after an incident, Root will now offer the choice between a rental car or a comparable amount of Lyft credits for free rides.
The claims process has long been one of the auto insurance industry's biggest pain points, and a big piece of that is the rental reimbursement experience. Often, with a week or shorter repair, the hassle of arranging for a rental car, getting reimbursement from the insurance company, and organizing pick-up and drop off override the value of a replacement car.
Combined with the fact that more and more people are choosing a ride-sharing service over a rental car in their everyday travel, research indicates broad support for adding a rideshare option to traditional rental coverage. An internet survey of 200 insured drivers aged 18-34 showed that 70% support a ride-sharing option in the case of a short-term rental. Of the same group, nearly half indicated that they would be more likely to purchase rental coverage for their insurance plan if it included an option to use a rideshare service such as Lyft.
Root's new rental coverage offering follows the success of their "Lyft on Us" perk, which gave policyholders free Lyft credits on the most dangerous driving days of the year, helping keep them safe. The company is committed to build new products and perks that make auto travel more safe and convenient.
"The claims experience is notoriously bad. You've just gotten into an accident and now you have a mountain of paperwork, agents with questions, and the added bonus of no car," said Alex Timm, co-founder and CEO of Root. "We're re-building the claims experience from the ground up, starting with rental coverage. Through our partnership with Lyft, we're making sure we don't add to the stress of an already bad day."
With the option of Lyft, Root policyholders can now choose to forgo the rental car process entirely and instead have Lyft credits added to their account to use over the period of the repair. The program, which Lyft is also piloting with two carriers in California, has resulted in significantly higher satisfaction ratings for the claims experience overall.
"We're excited to partner with Root, a new mobile-first insurance company with high growth potential," said Kevin Dulsky, Strategic Partnerships at Lyft. "We're always looking for new ways to innovate within existing industries, and insurance is definitely a place we can make a huge impact."
Under the Lyft program, customers who have a short-term need (a week or less) will have the option to choose a rental car or select Lyft credits worth a comparable amount. Policyholders can make the decision each time they file a claim.
"We're constantly looking for products and services to integrate with to create a better, hassle-free experience for our policyholders," said Dan Manges, CTO of Root. "Building an insurance company from the ground up means that we have room to explore these new perks and programs that break the mold. It's the power of innovation paired with really good insurance."
In addition to rental coverage, Root also announced today that the company is expanding to Oklahoma and Indiana, following quickly behind Ohio and Arizona.
To join Root, drivers simply download the app and take a test drive, which takes approximately 2-3 weeks, depending on how much they drive. Once complete, Root provides a quote and allows customers to request cancellation of their old policy, all through their mobile phone. To become a Root policyholder and join other good drivers, sign up at: http://www.joinroot.com
Root is the first insurance company founded on the principle of fundamental fairness. We create personalized products that give good drivers the protection they deserve.
At Root we only insure good drivers, and that is why our rates are always fair. Unlike other insurance companies, we do not bundle good drivers with bad drivers. Instead, we use data science to find and reward good drivers with the best rates.
Root is headquartered in Columbus, Ohio. We are an official carrier licensed by the Ohio, Arizona, Oklahoma, and Indiana Departments of Insurance. We are backed by the largest reinsurance company in the world, and we're a member of the Ohio Insurance Guaranty Association, Arizona Property and Casualty Insurance Guaranty Fund, Oklahoma Property and Casualty Insurance Guaranty Association, and Indiana Insurance Guaranty Association.
Lyft was founded in June 2012 by Logan Green and John Zimmer to improve people's lives with the world's best transportation. Lyft is the fastest growing rideshare company in the U.S and is available in more than 300 cities. Lyft is preferred by drivers and passengers for its safe and friendly experience, and its commitment to effecting positive change for the future of our cities.