Members with Higher Credit Scores will be Rewarded with Lower Premiums
November 11, 2024: CRED and ACKO General Insurance have partnered to offer an enhanced motor insurance experience for CRED members. Starting today, members can purchase, renew, and manage motor insurance from ACKO on CRED Garage.
CRED members – with credit scores >750 – will benefit from dynamically priced motor insurance. In a move to reward the trustworthy, higher scores will translate to lower premiums. Members will also be offered pick-up and drop-off facilities for vehicles involved in claims.
Commenting on the collaboration, Varun Dua, Founder, ACKO said, “We are delighted to offer a rewarding experience to the financially prudent customers, encouraging the need for better financial planning. We are thrilled to collaborate with CRED to offer a compelling incentive in the form of reduced motor insurance premiums to those who have demonstrated responsible financial behaviour. ACKO has always focused on making insurance more relevant and transparent for consumers and with this collaboration, we aim to reinforce the link between trustworthiness and tangible rewards.”
CRED Garage launched a year ago, has become a one-stop solution for 7 million vehicles owned by 4.4 million members. The platform simplifies tasks such as managing multiple vehicles, paying traffic challans, renewing pollution certificates, recharging FASTag, and securely storing vehicle documents. With 37% of users managing more than one vehicle and a third of cars being under three years old, CRED Garage caters to affluent users seeking convenience, transparency, and efficiency.
Kunal Shah, founder, CRED, said “Trustworthy behaviour needs to be encouraged, celebrated, and rewarded. Our partnership with ACKO does just this, offering members an insurance experience that recognizes their financial responsibility. By aligning premiums with credit score and driving behaviour, we’re excited to introduce a model that rewards good habits directly and meaningfully.”
The entire insurance process – from selecting a policy to making a claim – is more delightful and frictionless on CRED Garage. The product demystifies what is covered and more importantly, what isn’t, ensuring that users know what they’re buying. With comprehensive policies making up 93% of the insurance value sold on CRED, this highlights a shift towards better protection and peace of mind for financially responsible vehicle owners. Not only can members renew their insurance directly on CRED Garage, but they can initiate claims digitally and rely on CRED Garage’s concierge service to manage the process. Over 1.7 million CRED members have discovered lapsed insurance through CRED Garage, underscoring its role in helping users stay compliant and informed.
By incentivizing careful driving and timely insurance renewal, the platform promotes more responsible car ownership. Over five lakh members check for challans each month, reflecting the good habit formation that CRED Garage facilitates.
