[invidious]

It's end of the year and it is time to renew the insurance on 2 of the cars. Instead of just getting it done through an agent, I decided to look up online and found 2 new firms

1. Acko

2. Digit

Acko is Bombay based whilst Digit is Bangalore based. Both have an aggressive pricing policy and Acko is backed by Amazon. So if you go through Amazon Prime to the Acko site and generate a quote, the quote is even lower as far as you pay through Amazon Pay.

Digit gave me a call once I generated a quote and they were very professional. Not pushy and told me Acko will give me a better rate but Digit is a better product. Digit also offered some additional add-ons like Engine and Transmission cover. As mentioned earlier, the rates were significantly lower than those of traditional insurance firms particularly in case of Acko.


Has anyone here purchased their policies or actually had to raise a claim with either?

Thanks for your replies.

[mrbaddy]

Last month I renewed my car insurance and Digit came up during the shortlisting process and with a very low quote. I tried to find reviews of the same online but whatever little (very very little) I read they seem to be less customer friendly during claims. I didn't have much time to investigate further or read more so I had gone with traditional options.

[R2D2]

I renewed my car's insurance with Digit solely on the basis of the quote. They seemed courteous and professional in their communications. Of course, the proof of the pudding is if/when God forbid I make a claim. But then all Insurance companies hum and haw at this stage. I don't expect Digit to be different.

My 2nd car's insurance is coming up next month and I am yet to decide if I will continue with HDFC Ergo the current insurer or go with the best quote.

[greenhorn]

Do they have a list of workshops with which they have tie ups ?

[locusjag]

I don't know about their claim settlement capabilities. But as someone who has closely worked with American auto insurers and has himself bought their services, I can vouch for Acko's alacrity in selling to you and aggressive pricing. Their website is uncluttered & mobile-friendly.

Their offered premium for my recently bought used A Star was unbeatable. I love them so far.

[invidious]

Originally Posted by greenhorn

Do they have a list of workshops with which they have tie ups ?

Yes. They do. Let me find out more of how this works and any restrictions which might apply. Thanks for pointing it out.

[ghodlur]

Originally Posted by invidious

Has anyone here purchased their policies or actually had to raise a claim with either?

You might want to tread a bit carefully here when it comes to the new age Insurance cos like Acko & Digit. Their sole purpose as of now is generating business by offering the lowest premium compared to the big time players.

For starters look at this post when it comes to claim settlement.

https://www.team-bhp.com/forum/india...ml#post4505894 (Automobile Insurance Queries? Ask me)

Mods: Request to move the thread to the already existing thread "Automobile Insurance Queries? Ask me"

[locusjag]

Originally Posted by ghodlur

You might want to tread a bit carefully here when it comes to the new age Insurance cos like Acko & Digit. Their sole purpose as of now is generating business by offering the lowest premium compared to the big time players.

For starters look at this post when it comes to claim settlement.

https://www.team-bhp.com/forum/india...ml#post4505894 (Automobile Insurance Queries? Ask me)

For any insurer to be licensed and permitted by the IRDA, they have to have adequate financial reserves to pay out claims adequately at all times. I doubt that Acko & Digit are systematic fly-by-night operators who are incapable of settling claims.

On the other hand, in order to show a favorable loss ratio (with lesser claim amounts paid out), individual employees or regional managers do have a devious incentive to let their customers get the short end of the stick. To work around such instances, the IRDA has a publicly available listing of Insurance Ombudsmen. Trust me - the ombudsmen can keep insurers in line if they spot evidence of unethical claim settlements.

[GTO]

Originally Posted by ghodlur

Mods: Request to move the thread to the already existing thread "Automobile Insurance Queries? Ask me"

Let's not merge every query into a giant existing thread. Interesting topic = new thread, always.

[vigsom]

I have used Acko for a Liability Only policy - the policy was issued in a few minutes where they only wanted the vehicle number, PIN code, email address and mobile number.

When i got this vehicle transferred to my name,I sent them an email with a scanned copy of the new RC, and the revised policy was issued in 2 hours at no charge.

[locusjag]

I'll write a lengthy review, so that everyone can understand why I like Acko so much.

Background
I bought a used A Star Vxi AT around 3rd week of September. The previous owner had a policy with New India Assurance. I couldn't get the RC transferred to my name up until mid October.

The experience with New India Assurance

I located their nearest office, around 10 Km from work. I snuck out from work to go visit them once. I was told that the policy was purchased via Policybazaar, so they'd check in the system while they'd try their best. I returned that day after waiting pointlessly for 1 hour.

Around end of October, I went again. This time I got to sit near the officer who was trying his "best". Their system was down though. My patience was shot to bits. I went home.

I then e-mailed Policybazaar around the first week of November to process the name change in the insurance policy. They said they'll contact their liaison in New India Assurance and get back to me. Here's the kicker - even yesterday morning (Dec 10th, 2018), Policybazaar was busy sending me apology e-mails (they send me one mail a week) stating that it's taking longer than expected, but it'll get done! It's been around 55 days now that i've been after New India Assurance to transfer the policy to my name. It's still not done.

The experience with Acko

I called up Acko around the second week of November and I told them my situation.

The next morning, they sent home an inspector to have a look at the car. If I'd wanted a liability policy, no inspection was needed; but I insisted on a Liability + Comprehensive policy, so the inspection was needed.

The inspector took snaps on his phone, tried driving the car a few feet and left from home. Within 15 minutes, his inspection report containing the snaps he'd taken, was e-mailed to me. I went ahead and issued the quote I had generated the previous day with them within the next 5 minutes.

That's it.

I'm impressed. And I won't even belabor the point that their rates are aggressive, since that's well known.

My detailed observations as an insurance industry consultant
1) Their mobile-friendly website and their desktop site are ahead of the rest of the industry in India. Acko is at par with American insurers in this regard.
2) Their website very clearly explains the coverages, terms and conditions to a layman. This is important because most people (even in America) cannot comprehend the legalese that insurers crowd their policy documents with. Better explanations = higher chances of upselling more coverage to customers. Good going by Acko!
3) Their inspection team is obviously using a high grade inspection app which incorporates pictures taken on the mobile device and generates an editable PDF in a jiffy in which he types in his report in words and sends as an e-mail attachment. I've only ever seen such inspection apps being used by American insurers before.

Overall verdict
By avoiding middlemen in selling to customers (agents, brokers, e-brokers etc.), Acko can only have a low Expense Ratio (i.e., lower selling costs). They also have zero overhead costs in terms of maintaining a Regional office everywhere or a Zonal office for each nodal point. And they are completely paper-less, thereby saving on stationery costs and postal costs.

Once insurers get to breathe easy on the costs on the sales side of things, they should have a lesser incentive to cheat customers on the claims side.

Acko can quickly swamp the market if they play their cards right. They are one of India's few fintech startups looking to leverage Digital strategies. Well-begun is half the job and they have begun well. We'll see.

[dre@ms]

Seen both these names when trying to renew my wife's Wego which was with ICICI lombard. Since the names were new, took the traditional route. May be the next time will try Acko for my other vehicles.

[invidious]

I managed to get a national list of cashless garages from Digit. Here is the Excel sheet.

Digit has been professional.

I wish I could say the same about Acko.

They called me once after I made 3 requests. The guy did not know much about insurance - he insisted I can't possibly have a 65% No Claim Bonus even though I had already e-mailed Acko the Policy document which is expiring soon.

I speak reasonable Hindi but I obviously need to use English terms while discussing insurance. Unfortunately the sales guy did not understand much of what I was saying.

If your sales guy is inept, I wonder what kind of after-sales service one can expect from these chaps.

Digit has been pretty professional and have asked me to get a NCB retention letter to get the 65% NCB from my current insurer. They seem to be hands-on and well trained.

[ghodlur]

Originally Posted by invidious

Digit has been pretty professional and have asked me to get a NCB retention letter to get the 65% NCB from my current insurer. They seem to be hands-on and well trained.

The max NCB one can be eligible for is 50%. Would the Sunset clause of 65% NCB be applicable in your case. If not, how is Digit ensuring that they can provide 65% NCB

Sunset Clause: If at the renewal falling due any time between 1st July 2002 and 30th June 2003, both days inclusive, (after completion of the full policy period of 12 months) an insured becomes entitled to an NCB of 55% or 65% in terms of the Tariff prevailing prior to 1st July 2002, the entitlement of such higher percentage of NCB will remain protected for all subsequent renewals till a claim arises under the policy, in which case the NCB will revert to „Nil‟ at the next renewal. Thereafter, NCB if any earned, will be in terms of the above table

[invidious]

Originally Posted by ghodlur

The max NCB one can be eligible for is 50%. Would the Sunset clause of 65% NCB be applicable in your case. If not, how is Digit ensuring that they can provide 65% NCB

They have asked for an NCB retention letter from the current insurer. My current insurance also has an NCB of 65% passed on from earlier cars so I guess I come under that sunset clause.