Insurtech Lemonade Wins $34 Million in New Funding As It Readies for West Coast Expansion

By | December 5, 2016

  • December 5, 2016 at 1:21 pm
    Barry Rabkin says:
    Like or Dislike:
    Thumb up 9
    Thumb down 1

    Lemonade is an insurance firm. Period. Regardless of how an insurance firm uses technology – or even if it entirely populated by androids and algorithms, it remains an insurance firm and only an insurance firm.

    • December 5, 2016 at 1:39 pm
      Mr. Solvent says:
      Well-loved. Like or Dislike:
      Thumb up 12
      Thumb down 0

      And in this case, a highly leveraged insurance firm.

  • December 5, 2016 at 1:45 pm
    agent2 says:
    Like or Dislike:
    Thumb up 10
    Thumb down 1

    Wait for the shellacking in BI & PD claims before popping the champagne.

  • December 5, 2016 at 1:56 pm
    Big Jim says:
    Like or Dislike:
    Thumb up 8
    Thumb down 0

    It will be interesting to see how this company will handle a catastrophic event. If all they rely on is Artificial Intelligence I would be curious to see how it handles claims from a hurricane.

  • December 5, 2016 at 1:59 pm
    Why not? says:
    Like or Dislike:
    Thumb up 9
    Thumb down 5

    And Amazon is just a retail firm? I’m not exactly sure what you are implying with the “only an insurance firm” comment, but the investment money follows where the demand will be, and in this case it will be on a firm that has the ability to efficiently, effectively and consistently deliver an insurance buying and servicing experience without the direct requirement to interact with an agent. Doesn’t that make you pause and wonder how you will set yourself apart? I find it amusing that agents directly go to a response that says it won’t work, when they should be asking, how do I bring value to the model of the future?

    • December 6, 2016 at 9:01 am
      agent2 says:
      Like or Dislike:
      Thumb up 6
      Thumb down 0

      There will always be a huge demand for cheap insurance. Even cheap crummy insurance. Helping the consumer avoid the later is how we currently set ourselves apart. I guess that won’t be enough in the future for some.

    • December 12, 2016 at 12:30 pm
      Texas Agent says:
      Like or Dislike:
      Thumb up 2
      Thumb down 0

      Great points……. It wasn’t long ago that big box stores like Best Buy were being dismissive of Amazon. No longer. They are struggling to remain in business, their entire model has changed in attempt to remain relevant. IF insurance is merely purchases as a commodity (as most Amazon items are) there is no reason to NOT do business with the cheapest and easiest. The product is all the same. This is no threat to the professional whom understands insurance is just one segment of prudent risk management and risk management is their real business.

  • December 5, 2016 at 4:00 pm
    blu lightning says:
    Like or Dislike:
    Thumb up 9
    Thumb down 0

    The catastrophe will be as “delightful” as the rest of the Lemonade experience.
    Another glass? Thanks, but I’ve had enough for today

    • December 5, 2016 at 4:03 pm
      Agent says:
      Well-loved. Like or Dislike:
      Thumb up 14
      Thumb down 2

      Pretty good odds that the consumer will have a sour taste in their mouth from Lemonade, especially after claims have to be paid.

      • December 6, 2016 at 10:20 am
        Actu says:
        Like or Dislike:
        Thumb up 4
        Thumb down 4

        What do you think Lemonade does? I don’t think you understand the articles on this, on the off chance you even read them.

  • December 6, 2016 at 12:08 pm
    Mark says:
    Like or Dislike:
    Thumb up 5
    Thumb down 0

    142 policies and 14K in premium means 100 per policy

    What are they selling as they state home and renters – must be almost ZERO COVERAGE

    • December 6, 2016 at 3:50 pm
      dot_hemath says:
      Like or Dislike:
      Thumb up 1
      Thumb down 0

      Based on what I think I know about this thing, which isn’t much, the numbers quoted are for one month of coverage.

    • December 8, 2016 at 10:57 am
      UW says:
      Like or Dislike:
      Thumb up 2
      Thumb down 1

      I did a quick quote online for a renter without expensive jewelry in NYC. $5/mo with a $250 deductible, and $10k property, $100k legal, $3k loss of use, $1k medical to others limits. Increasing to $20k property and $11k loss of use is about $8/mo. I world say that’s decent for renters insurance.

  • December 12, 2016 at 7:19 pm
    County Line says:
    Like or Dislike:
    Thumb up 1
    Thumb down 2

    Dovetailing with Agent2’s comment, Lemonade simply caters to those who buy price, not coverage. And those low-end clients willget what they pay for: No one to talk to or answer questions about all the moving parts that comprise P&C packages. And don’t forget about the terms, conditions and exclusions of coverage that price-first buyers conveniently ignore until their claim is denied or severely limited. If not for the pain Lemonade will mean to claimants, it will be amusing to see the legal onslaught awaiting Lemonade over denied claims.



Add a Comment

Your email address will not be published. Required fields are marked *

*