Comment on Ask HN: What are the problems that would prevent this business from working?Comments−mooism214yWhere have you got your "5% of them make a claim with average cost £5000" figures from?Are employee costs included in the £10 million for misc fees?I would think you'd also have to make an allowance for fraud (both in terms of write-offs and fighting it).The biggie: How many drivers aged 17-22 are there in the UK, and how much will you have to spend on advertising to get 500,000 of them to sign up?£125 million + £10 million is not £130 million.
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Where have you got your "5% of them make a claim with average cost £5000" figures from?
Are employee costs included in the £10 million for misc fees?
I would think you'd also have to make an allowance for fraud (both in terms of write-offs and fighting it).
The biggie: How many drivers aged 17-22 are there in the UK, and how much will you have to spend on advertising to get 500,000 of them to sign up?
£125 million + £10 million is not £130 million.