Suncorp has invested $1.5 million in peer-to-peer car rental company Car Next Door, and will have a board observer seat as part of a $10 million funding round in order to better understand changing vehicle use.
“We know the traditional way Australians own and use cars is evolving and this partnership will allow us to learn and better service our customer needs,” said Gary Dransfield, Chief Executive Officer Insurance at Suncorp.
Car Next Door started in 2013 with 20 cars and 60 borrowers, allowing vehicle owners to earn money by renting them out. Since then, more than 3000 cars have been shared through the platform.
Suncorp says the partnership will include the development of innovative insurance products and joint promotional activity.
“We can support Car Next Door’s members with insurance, and we can also introduce our customers to a new way to safely and easily rent out their cars in their own neighbourhoods,” said Dransfield.
Steve Johnston, CEO of Suncorp Group, said that embedding digital and data in product design and distribution remains a key area of focus.
“This has most recently been demonstrated as we internally pilot Bingle Go, a market-first insurance product designed specifically for customers who rely on more than their car for their everyday commute,” said Johnston.
Johnston also said that the reinsurance team was continuing to review options ahead of a number of multi-year programs expiring at the end of June.
“Based on discussions with the reinsurers we remain confident there will be strong demand for Suncorp’s program,” said Johnston.