London-based InsurTech startup By Miles has raised £350,000 from investors including InMotion Ventures.
The firm, which offers pay-per-mile can insurance, also drew support from Hambro Perks and angel investors.
By Miles will use the money to prepare for launch, hire new staff, to expand and work on its proprietary technology.
The firm claims to have no direct competition in the UK, although it noted that InsureTheBox do pre-paid mileage-based insurance and Cuvva have an hourly product based around temporary car insurance.
By Miles was founded by James Blackham and Callum Rimmer. Speaking about the funding, Blackham, also the CEO, said: “We didn’t think it was fair for drivers to pay full price for insurance when they weren’t using their car, so we’ve designed real-time insurance that treats customers as individuals and fits the way they drive.
“We’re already trialling the product with a panel of private beta testers from our waiting list, and this support from Hambro Perks and InMotion will allow us to get closer to our full launch.”
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Aside from a monthly subscription fee, By Miles uses telematics to track the distance a car travels and
“We’re not just trying to make car insurance fairer and more transparent, we’re also trying to give drivers the power to make better decisions. If a customer sees the cost of a small journey is going to push them over their monthly budget, then they can make the choice to car share, get public transport or even cycle,” Blackham added.
James Nettleton, head of Seed programme at Jaguar Land Rover’s InMotion Ventures, said: “There are some really talented teams working on solving problems in the car insurance space, and we’re excited to get the chance to work with one of the best.
“By Miles is bringing a radical new level of flexibility and transparency to a product that has been consumed in more or less the same way for decades. We’ve been really impressed by the work they’ve done to date, and we’re looking forward to supporting their next steps.”
The news comes after fellow cohort company Zeelo announced the closure of a $450,000 pre-Seed.