Marsh introduces UBI Marsh deliveryPRO for on-demand deliveries

Marsh announced the launch of Marsh deliveryPRO, a customizable insurance solution that enables US businesses to meet the increased demand for same-day delivery of their products more efficiently.

Many grocers, delivery network companies, retailers, restaurants, and other businesses are using individual drivers as employees or in a “gig” independent contractor capacity to meet the surge in demand for delivery during the COVID-19 pandemic. In these cases, the drivers’ own vehicle is used. Current commercial auto liability insurance for such delivery can be difficult to secure and is often based on outdated models like prior year revenues, resulting in inefficient pricing.

To address these issues, Marsh has collaborated with AXA XL and mobility data and analytics company Arity to create Marsh deliveryPRO, a usage-based, price-by-mile insurance solution that allows businesses to pay only for the coverage they need.

With deliveryPRO, Marsh clients can purchase a minimum of $500,000 in exclusive third party bodily injury and property damage auto liability capacity from AXA XL in excess of a minimum $500,000 self-insured retention for their hired and non-owned delivery exposures.

The policy acts as primary auto coverage when the driver is on an active delivery, as tracked by the deliveryPRO platform powered by Arity or other existing technology. Premiums are based on the number of miles driven for the delivery, allowing insurance costs to scale with a business’ growth. Pay-per-claim third-party claims administration services and claims consulting also are available.

Product Highlights:

  • Exclusive capacity with one of the AXA XL Insurance Companies
  • Usage-based “price-by-mile” coverage.
  • Bespoke policy language, tailored to your delivery operations that clearly marks where coverage begins and ends, and eliminates difficulty with personal lines insurance carriers.
  • Limits of $500,000 to $1 million available excess of a minimum $500,000 self-insured retention.
  • Drivers are included as named insured, to reduce friction during the claims process
  • Telematics from Arity, if no system currently exists to track mileage or report claims.
  • Pay-per-use claims support with VeriClaim, a division of Sedgwick, if no current existing relationship is in place.
  • A standalone auto program which provides greater market access for the rest of your liability program, including excess/umbrella liability.

“Many businesses have had to ramp up their existing delivery services or convert from in-person sales to on-demand deliveries overnight as a result of the global pandemic. Even when the crisis is over, last-mile delivery will likely continue to grow. With Marsh deliveryPRO, businesses can access usage-based insurance, pay only for what they need, and meet the surge in demand for delivery.” – Robert Bauer, Head of Marsh’s US Sharing Economy and Mobility Practice.

“AXA XL is committed to providing tailored solutions that address emerging risks, particularly in the sharing economy and mobility space. Our relationship with technology innovators and strong distribution firms like Arity and Marsh respectively, empower us to help address the evolving needs of our clients.” – Chris Kopser, AXA XL President of Global Risk Management.

“Our expertise in mobility data analytics enables us to understand how someone behaves while behind the wheel, whether it’s for a delivery or personal use. This gives businesses greater control and the ability to work with and employ delivery drivers directly. Arity is proud to play a part in providing groundbreaking solutions that allow businesses to quickly adapt and effectively manage their insurance costs while giving individual drivers protection when making deliveries with their vehicles.” – Gary Hallgren, President of Arity.

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