Hugo is an insurance company that has been in business for some time. It provides liability insurance coverage in 13 states on demand for around $30 daily. Moreover, it has payment plans where drivers can pay every three days, bi-weekly, monthly, or weekly.
Hugo’s payment plans has an online component that allows drivers to purchase comprehensive and discount packages; however, the policies are not very friendly towards users who want loyalty discounts.
Cost
Hugo’s on-demand car insurance was designed to meet the needs of people looking for temporary coverage only. It is also possible to turn the coverage on and off, paying in micropayments. This structure is much more efficient than traditional insurers whom you tend to overpay for, especially suffer from such issues as being a teenager or having infractions in your record.
The Flex Plan offers both roadside assistance and medical reimbursement covers, but unfortunately no comprehensive or telematics policies are offered, which most drivers would typically prefer. The plan offers no-frills liability only coverage that meets the bare minimum state requirements, which most drivers will find affordable.
For instance, Zipcar’s Flex Plan is one of the pricier options and offers less value. Their Unlimited Basic plan, for example, contains no roadside assistance or medical cover and comes with a minimum duration of three days. In addition, it is unlikely to appeal to higher net worth individuals as it offers very little liability coverage.
As with many innovative products, Hugo’s full coverage insurance may attract a lot of attention; however, it is definitely not for everyone. If you decide to go with an auto insurer that requires full coverage or long-term policies, then Hugo will not be the best option. Additionally, drivers who need to provide insurance to register vehicles for lease or loan agreements will also not find Hugo suitable. While it is possible to acquire temporary coverage through Hugo, it will be expensive if it lapses without adequate notice.
Summary-
Hugo now provides another innovative solution for people on the go. People who might not have access to insurance because they only drive infrequently or rent or borrow cars for short time periods will benefit the most from his services. To comply with legislation in 13 US states, Hugo offers a limited Flex, Unlimited Basic, and Unlimited Full packages.
This company claims that it only takes two minutes to receive an insurance quote online, with immediate proof being provided when an application has been completed. Additionally, their customer support center operates from 8am-7pm EST and their clients have stated that they enjoy a streamlined process and effective customer service representatives.
While Hugo may be more expensive than conventional providers, their claims process can reach up to six weeks before there is any resolution. Some users have voiced concerns that Hugo’s services are too costly.
Hugo Car Insurance has maintained positive reviews from consumers, which compliments their vow of accessible and cheap car insurance. It is understandable why some people say that price is not competitive at all but their claim to fame is the on-demand approach that allows drivers who do not want to pay large sums in advance, an enticing option.
Customer service
In the USA, from 13 states, Hugo car insurance is a start-up that provides innovative flexible policies with pay-as-you-go coverage for short periods of time. With no down payments or last-minute trip fees, regular plans can also be issued that do not cost much, making them ideal for low income earners seeking affordable coverage. Like many startups, Hugo does not have a middleman and sells directly to consumers, providing 24/7 support through social media and traditional phone calls.
The customer service representatives I spoke to mentioned that I could get a quote and buy a policy in under two minutes. This is possible, and as their website states, you can complete the form with just basic information like a driver’s license number, address, and car make, model, year, and VIN. What is unusual and nice is that they do not ask or require social security numbers from their applicants.
Unlike other auto insurers, Hugo does provide loyalty discounts, but it does not have these for occasional drivers. Instead, they focus on the drivers who need the coverage the most. So single occasional drivers save money by paying only on the days they need to be insured, which is helpful when needing insurance for driving for short periods of time.
Hugo’s coverage model on demand may not help all drivers, only those who are enrolled in flex plans have the option of starting or stopping the coverage at will, which is only offered in California and Illinois. Holders of Basic Unlimited Plans cannot. Any gaps in coverage that extend longer than a few days will result in Hugo informing the state’s DMV and could lead to vehicle registration suspension for that state.
Reputation
New Hugo Insurance is a car insurer that provides a flexible pay-as-you-go option that includes short-term coverage in 13 states. Policies are issued online and can be cancelled easily without incurring any penalties. Though the reviews have been positive, Hugo is still not included in the industry ratings from AM Best or JD Power.”
Hugo is potentially a good fit for drivers wishing to steer clear of the costs tied to traditional policies. With that being said, not everyone might be able to adapt to the new model. The on-demand feature could be problematic for frequent drivers which could lead to higher premiums or worse, lapsed coverage. In addition, this product should not be recommended for those who lease or finance their car(s).
Hugo is still a valid option for drivers who do not want to deal with comprehensive and collision coverage while preferring to make micropayments for their premiums. Unfortunately, however, this is not ideal for those looking for flexibility. Not taking restrictions into account could lead to exorbitant expenses rates, fees, and gaps that come between the usage of the vehicle’s registration. Also, inadequate limits set on liability could lead to insufficient protection of high value assets.
