Digital carrier startup Next Insurance is debuting its first commercial auto insurance policy.
Small businesses can now purchase a commercial car insurance policy separately from Next, or at a reduced price when bundled together with liability insurance. The addition of a commercial vehicle insurance policy to Next’s product lineup is designed to follow the company’s business model as a one-stop insurance shop for small businesses and entrepreneurs. Next said that the offering, like all of its products, is available entirely online and without extra fees.
Next will initially write its new commercial auto insurance policy as a managing general agent and then move the product to its carrier within the next few months, a spokesperson explained to Carrier Management via email. This is Next Insurance’s own product and it does not belong to another carrier, with the company choosing to use a fronter to file it, the spokesperson said.
“Introducing our commercial automotive product is a major milestone for us,” Guy Goldstein, CEO and co-founder of Next Insurance, said in prepared remarks.
For Next Insurance’s new commercial auto insurance policy, business owners can: choose the level of protection they want according to budget and desired level of risk; select from several limits and choose whether to include protection for their own vehicle (when used for business purposes) on top of the liability auto coverage required by law.
The policies offer coverage for up to four different vehicles and eight drivers. Next commercial auto insurance policies are available in Arizona, Colorado, Indiana, Illinois, Minnesota and Ohio, with plans to have them available “soon” in all 50 states.
To date, Next Insurance has raised $131 million in venture financing, including an $83 million financing round in May. Backers include Redpoint Ventures, Nationwide, Munich Re, Markel, American Express Ventures, Ribbit Capital, TLV Partners, SGVC, Global Founders Capital and Zeev Ventures.
The California company was founded in 2016, initially as a digital insurance agency for small to midsize businesses, and became a licensed insurance carrier in May 2018.
Next Insurance promotes its business model as offering policies business clients can buy easily, 24/7, with online access to certificates of insurance and a new Live Certificate, among other benefits.
Next is headquartered in Palo Alto.
Source: Next Insurance