Surround Core delivers a flat-priced package policy including renters, auto and professional liability specifically designed for millennial and Generation Z consumers.
PRODUCT: Surround Core
COMPANIES: Accredited Surety and Casualty (Carrier), Swiss Re (Reinsurer)
BEST RATING: A-
AVAILABILITY: Appointed agents and brokers only.
FOCUS: Surround is a managing general agency (MGA) startup that sells insurance starter packs designed for millennial and Generation Z consumers. Sold as a flat-priced package offering, Surround Core includes a renters policy, a named non-owned auto policy, and a miscellaneous professional liability policy.
Distributed exclusively through independent agents, the product is uniquely positioned. “We're building a new category of insurance designed around a consumer's lifestyle that's simple to quote and sell," says Jonathon (Jay) Grayson, CEO, Surround.
In addition to a quick, online application, the product aims to benefit agents by bridging the generational divide between their existing clients and a new generation of clients. “We help these agents acquire customers early in their insurance lifecycle so they can enjoy a lifelong relationship," Grayson says.
“In this time of COVID-19 where face-to-face interactions aren't happening, our agent partners asked us to develop a direct-to-consumer like quoting experience, which is also how these consumers want to buy," Grayson adds. “We've digitally enabled the purchase experience to leverage the investments agencies have made in marketing and sales over the past year."
COVERAGE DETAILS: Surround Core combines three ISO coverages into an admitted product: renters, non-owned auto and professional liability insurance. The renters coverage includes $100,000 personal liability, $10,000 for personal property or loss of use with a $500 deductible and $5,000 for medical payments. The non-owned auto includes $100,000/$100,00 for bodily injury, property damages and uninsured/underinsured motorist coverage. The professional liability portion of the product provides $100,000 in coverage for a non-licensed professional with a $500 deductible. Surround will add more starter pack combinations later this year.
UNDERWRITING: The application takes less than four minutes to complete. Surround asks for three things to complete the application before making the underwriting determination: connect a LinkedIn account through an API experience; a driver's license; and a soft credit check.
MINIMUM PREMIUM: The product costs $60 per month or $720 per year. A 5% paid-in-full discount is available.
TARGET: Individuals between the ages of 22 and 38 who rent an apartment in or near a city, occasionally drive a rented or borrowed car and have a full-time job but supplement income with freelance work. This person needs renters insurance, wants to save money on overpriced rental car insurance, and seeks the peace of mind provided by professional liability coverage. Surround is also perfect for a parent who is taking their adult child off their auto insurance policy.
COVERAGE AVAILABILITY: Only available in Massachusetts. Surround plans to file in several more states this year.
CONTACT: Jonathon Grayson, CEO, Surround; 1 Broadway, 14th Floor, Cambridge, MA 02142; 617-407-8459.
Will Jones is IA editor-in-chief.