redBus, goibibo partner with Acko to offer customized insurance products

New age insurance company, Acko General Insurance Limited has announced a strategic tie-up with Ibibo Group to offer customized travel insurance products to users of redBus and GoCabs.

redBus, India's largest online bus-ticketing platform, has the largest customer base of over 16 million.

Two innovative insurance covers are the highlights of Acko's travel insurance for redBus users and novel in the industry. The first is an insurance cover on cancellation where the user can claim 50% of the ticket value in case a bus operator cancels and does not provide a replacement on the same day.

The second is a bus-type mismatch, where a customer can claim 50% of their ticket value in case the bus that is provided is not what they had booked (for eg. if a customer booked an AC bus but the bus was non-AC).

On an average around 500-600 buses get cancelled daily by bus operators, impacting a large number of users every day. With this, customers can not only seek a refund for their cancelled trip from redBus but also be compensated extra for the inconvenience caused to them.

In addition, the insurance cover being introduced for redBus users will cover baggage loss and medical emergency due to accidents. The death and disability cover will be for Rs. 6 lacs each, for a premium varying between Rs. 8 to Rs. 25 (depending on the value of the ticket) and there'll be a hospitalisation cover of up to Rs. 75,000. Apart from this, customers can claim up to Rs. 5,000 for loss of baggage.

The insurance on redBus will be available for only to Android app users initially. It can be purchased online at the time of booking the travel.

"redBus is always on the lookout for innovative travel solutions. The travel insurance product from our partner Acko that ensures worry-free travel for our customers through additional covers of bus cancellation and the bus-type mismatch is clearly in that direction. The hassle-free process of insuring a trip and filing a claim against is sure to delight our users," said Prakash Sangam, CEO of redBus.

Acko is also offering an innovative insurance product with GoCabs, Goibibo's intercity cab booking service that will cover death, disability, hospitalization and loss of baggage and personal content that may happen on the ride.

It will also offer a one-of-its-kind trip delay coverage for delays of more than 30 minutes. This insurance cover is available to users for Rs. 39 for a one-way trip and Rs. 49 for a round-trip. The insurance cover for GoCabs can be bought at the time of booking a car ride on the Goibibo app.

"Customers face a few uncertainties and inconveniences while travelling and by partnering with Goibibo we hope to make it less worrisome for customers with our simple purchase and hassle-free claims process," said Varun Dua, CEO of ACKO General Insurance.