Is Hugo a real car insurance?

Hugo insurance claims to be the world’s first pay-as-you-drive liability insurance, is our flagship offering. Hugo does away with significant up-front costs, provides insurance for a minimal prepayment, and allows users to halt their coverage at any time through text message. Or in their own words:

“Our flagship product is Hugo, the world’s first pay as you drive liability insurance. Hugo gets rid of large upfront fees, delivering insurance for a small prepayment, and lets drivers pause their coverage whenever – all by text message.We’re a tight team of engineers, insurance geeks, data junkies, and community builders on a mission to make sustainable financial services that lift up all consumers.” Source.

Hugo provides drivers with adaptable, on-demand coverage. Depending on the plan, policyholders can make “micropayments” for coverage for periods of three days to six months at a time. Drivers can pay as they go with no upfront costs and no down commitment. Getting coverage only requires a short period of time.

What is pay as you drive liability insurance

Pay as you drive (PAYD) liability insurance is a type of car insurance policy that allows drivers to pay for their insurance based on how much they drive. With PAYD insurance, drivers pay a base rate for coverage, but the cost of the policy is also influenced by the number of miles driven during the policy term.

The more you drive, the more you pay for your car insurance. This type of insurance policy is based on the idea that drivers who use their vehicles less often are less likely to be involved in accidents and should therefore pay less for their insurance.

PAYD liability insurance is typically used by drivers who do not drive frequently, such as retirees or people who work from home. It is also an option for people who want to reduce their carbon footprint by driving less.

It’s important to note that PAYD insurance only covers liability, which means it pays for damages and injuries you cause to other people in an accident. It does not cover damages to your own vehicle or injuries to yourself. If you want additional coverage, such as collision or comprehensive coverage, you will need to purchase those separately.

You may wonder if Hugo insurance is a real car insurance.

How do you know a real Car insurance?

There are several ways to determine if a car insurance company is legitimate and trustworthy:

1. Check for licensing: Every insurance company is required to be licensed in the state where it operates. You can verify an insurance company’s license by contacting your state’s insurance department or by checking their website.
2. Look for financial stability: A reputable insurance company should have a strong financial rating. You can check a company’s financial rating from rating agencies such as A.M. Best, Moody’s or Standard & Poor’s.
3. Read customer reviews: Read online reviews from current or former customers of the insurance company you are considering. This will help you get an idea of the company’s customer service and claims handling.
4. Compare quotes: Get quotes from multiple insurance companies to compare pricing and coverage options. Make sure you’re comparing apples-to-apples when it comes to coverage levels.
5. Check their history: Research the company’s history, how long they have been in business and if there have been any major lawsuits or complaints filed against them.

By taking these steps, you can ensure that the car insurance company you choose is legitimate and trustworthy.

What do people say about Hugo insurance?

As at the time of writing this article, Hugo insurance has an excellent 4.8 rating on Truspilot out of 4762 reviews. This means that 91% of the reviewers gave the company a 5 star.

You can click the Truspilot link on Hugo insurance user review to see what people say about the company before making your decision.