Fireside chat: Marc Pell, Managing Director Tempcover & Andrew Little, Head of Marketing & Sales REDTAIL
Well, Starbucks sofas with coffee actually.
But still, I have known Marc for a number of years and enjoyed being adjacent to Tempcover’s spectacular growth journey. The common thread between Tempcover and REDTAIL, and the chats that Marc and I have had, is a real commitment to actionable data to inform business decisions and provide policyholders with value.
Temporary car insurance and telematics – so what?
Let’s provide some context: Marc and his team identified a need for short-term, temporary car insurance over a decade ago. Those needs include test drives, new car owners requiring cover for a few days, borrowing family or friends’ cars for moving home and car sharing. On the commercial lines side, Tempcover also sees a growing need for businesses to insure vans for their fluid workforce.
Currently, the majority of business is placed through the Tempcover website, although the best deals are to be found on their App. The average period for insurance is 2-3 days, the most common one day with >40% repeat business.
REDTAIL provide data on the performance of driver and vehicle with immediacy and accuracy. This combines the benefits of Usage Based Insurance (Risk, Premium, Claims) with that of Fleet Management (optimising performance of your drivers and vehicles).
Benefits for Insurance
From the pure insurance side, telematics data supports Tempcover’s business in two ways:
- Claims – in the event of an incident Telematics data provides granular insight into precisely what happened to whom and where and when and with what force. This not only makes resolution of claims 65% quicker but also deploys real science in assessing and proving liability
- Understanding the risk profile of a driver in order to provide the most correct and competitive premium uses driver ‘scoring’ at its heart. REDTAIL data considers a number of parameters scrutinising speed, acceleration, braking and cornering, for example
Benefits for Fleet Management
On the fleet management side, a car dealership or a small business with vans and fluid workforce would benefit from:
- Knowledge of where the vehicle is in its itinerary, routing and fuel efficiency
- Understanding of how the vehicle if being driven (see above!)
Loyalty and membership
Additionally, Marc and I discussed the idea of a membership and loyalty scheme. Given Tempcover’s enviable repeat business, we brainstormed the idea of a club. A club for those increasing numbers of short-term drivers, with perhaps a subscription, to include peer ranking, key fob and driver scores. We will continue to talk and explore and innovate to sustain the meteoric growth of the sector and support Tempcover’s leadership position.