UK-based private motor insurer Direct Line Group has acquired By Miles, a pay-by-mile insurance provider.
Financial details of the deal have not been divulged.
Established in 2016, By Miles is a managing general agent and provides real-time pay-by-mile insurance policies.
Via its platform, By Miles has sold over 100,000 policies since its launch, and currently serves around 50,000 customers, underwriting £26m of gross written premium.
The acquisition will leave negligible impact on the capital position of Direct Line, which already underwrites By Miles’ new business.
Direct Line Group’s Ecosystems leader Andy Broadfield said: “We’re excited to join forces with By Miles – they are an entrepreneurial team that has built fantastic capability and, like us, are focused on delivering every day for their customers.
“It’s a perfect fit because we’re creating easy, digital-first journeys to enable customers to pick the motor insurance cover that best suits them. Combining our customer-friendly brands, underwriting, and data expertise with By Miles’ innovative connected car capability and engaging customer proposition is an exciting prospect.
“We can’t wait to get started because it provides exciting potential for the Group to meet more of the needs of more customers.”
By Miles CEO James Blackham said: “We’re delighted to be joining Direct Line Group. When we started By Miles back in 2016, we wanted to build a new kind of insurance that would better fit the lives of drivers today and would continue evolving to support the way drivers get around in the future.
“Direct Line’s underwriting data and insight, commitment to customer experience, and comprehensive knowledge of building household brands chimes perfectly with our mission of bringing the benefits of fair, data-led pricing to as many UK drivers as possible.
“Having proven the demand for usage-based insurance, we’ve made great progress building out our connected car data platform. With these solid foundations and the support of Direct Line Group, we’re excited to take our business to the next stage.”