UK Insurtech ARMD has announced a partnership with Sparta Insurance Services to launch a new insurance product aimed at providing enhanced protection for tradespeople's tools.
The product, named “ARMD Tools In Transit,” offers up to £10,000 coverage for tools left securely in a van around the clock. This coverage is a departure from traditional policies that typically require tools to be removed from vans overnight.
The introduction of this insurance product addresses a long-standing gap in the market for tradespeople in the UK. Statistics indicate that a van is broken into every 15 minutes in the country, and a significant 83% of tradespeople lack tool insurance, as per the “On The Tools Whitepaper.”
ARMD's approach combines proactive protection with rapid reimbursement, aiming to empower tradespeople to safeguard against tool theft more effectively. Operating as a managing general agent (MGA), ARMD has secured this partnership with Sparta Insurance Services, which brings Lloyd's underwriting capacity, thereby extending their solution to UK brokers and intermediaries.
The “ARMD Tools In Transit” product also features an app-based tool inventory system. This system allows tradespeople to log their tools and receipts, facilitating evidence of ownership and enabling faster claims processing, with a turnaround of five days compared to the industry norm of five weeks. Claims can be processed directly through the app, which incorporates the tool inventory.
Additionally, the app offers the option to purchase ARMD Guard, a smart alarm and vehicle tracker. This feature sends instant notifications to the user's mobile phone if their van or tools are compromised, further aiding in claim validation.
“This is a huge development in a market that has been crying out for innovation,” ARMD CEO Devin Chawda said. “Finally, trade businesses can have the protection and peace of mind they have been wanting for years, and brokers can now tap into a broader customer base with a market-leading product tailored for their specific needs. We are very pleased to be partnering with Sparta Insurance Services and their broker partners across the UK with our first broker insurance product for tradespeople. We’re also working on a number of new partnerships and products for this sector.”
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