A wheel good model
- When it comes to insurance, wouldn’t it be great to pay only for what’s needed, not for what may (or may not!) happen in the future? That’s the model of 500-backed insurtech company Laka.
- Their customers don’t pay any upfront premiums and are charged based on the previous month’s cost of claims, with an individual cap. Laka earns its success fee only when claims have been settled.
- It’s no wonder Laka is a 6-time winner of the ‘Best Cycle Insurance Provider’ award and has grown their net revenue 145% year-on-year in Europe, totalling more than €200M (~US$214M) in insured value. Their next target? €1B.
- Laka is already serving customers in 9 countries in the region, including the Netherlands, France, Belgium, and Germany.
- “We’re aiming to become Europe’s leading micromobility service partner,” Co-founder & CEO Tobias Taupitz shared.
- Some of Europe’s most renowned bike retailers and manufacturers have come to Laka for insurance, including the world’s largest sports retailer Decathlon, and the Netherlands’ largest bike manufacturer Gazelle.
- Laka’s customer-centric business model means they’re also involved throughout the post-claim process. For example, if a bike is stolen and can’t be recovered, Laka helps its customers to source a new bike.
- The company has also committed to a quota for salvaging damaged bikes and recovering stolen bikes with a mantra of use, reuse and recycle.
- Read the full story here.
