Insurtech Zego has launched a flat rate insurance policy targeted at fleet and private hire companies in constant demand.

It is aimed in particular at firms driving a high mileage or wanting to pay a predictable, fixed premium per month.

Fleets using the flat rate policy will be installed with the Zego telematics devices from partner ABAX. The insurtech is able to capture fleet driving behaviours, allowing fleet businesses to identify and manage risks better.

As a result of sharing data, better performing fleets will be rewarded with up to 30% off their policy at renewal.

In addition, fleet business can manage their vehicles and claims processes through the Zego fleet portal. It offers insights into individual vehicle performance, a live 24/7 view of claims and allows businesses to add and remove vehicles and drivers instantly from the policy.

Ines Feracci, commercial director at Zego, said: “Zego is committed to offering fleets the most cost effective, flexible and easy-to-manage insurance policies. Where our flagship ‘by the mile’ flexible products suit some fleets, others prefer to pay a set monthly premium – whilst still being able to access the benefits Zego’s telematics and intuitive dashboards bring.

“We are thrilled to be able to offer a choice of products to fleets all of which reward better driving performance.”

GlobalData’s Vehicle Parc Database shows that the market for electric cars is very small at present, as only 0.7% of all cars in the world were electric in 2020. The picture is slightly better in the UK, where the scheme will launch, as 1.2% of vehicles are electric there.

However, electric vehicles is also one of GlobalData’s key themes. This means we have picked it as one of the key trends over the coming years. In the UK, no new cars using any petrol or diesel will be sold post-2035 in the UK, which will force electric vehicles into the mainstream. The sale of new petrol or diesel cars is banned from 2030, while 2035 is the final deadline for hybrid cars.