Lemonade Insurance Review 2017

Insurance, Life Insurance

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Lemonade Insurance reviews and ratings

  • No complaints against the company to regulators have been reported by the National Association of Insurance Commissioners
  • Lemonade’s financial strength is rated highly

Overview

Lemonade offers renters, condo, co-op and home insurance with a feature that sweetens the deal. You choose a charity when buying insurance through Lemonade, then your payments are pooled with those of other policyholders. After paying expenses and claims each year, the company gives any money left over to customers’ favorite causes.

Lemonade sells insurance through its app and website. It launched in New York in September 2016 and has since expanded to California, Illinois, New Jersey and Texas. The company plans to expand to most other states by the end of 2017.

Financial strength

Lemonade’s financial stability is rated A, exceptional, the third-highest rating, by financial analysis firm Demotech. Lemonade’s financial strength is not rated by A.M. Best. Financial stability or strength ratings indicate an insurer’s ability to pay claims.

Lemonade renters, condo and home insurance

The company offers renters, condo and home insurance in California, New Jersey and New York, renters and condo insurance in Texas and renters insurance in Illinois. Lemonade Insurance says it will add home and condo insurance in Illinois and expand to other states in 2017.

Discounts are available for safety equipment such as fire and burglar alarms.

Lemonade offers a “Zero Everything” feature for an extra cost. The option lets you file up to two claims a year without paying a deductible and with no subsequent rate hike. Zero Everything is available for renters and condo insurance in California, Illinois and Texas. The company plans to expand its availability to other states and for home insurance.

Lemonade Insurance has no agents. You buy coverage and make claims through the company’s app or website. Buying a policy takes as little as 90 seconds, and making a claim takes as little as three minutes, according to the company. If you make a claim, the money is wired to your bank. For a simple claim, payment is made almost instantly, the company says.

Lemonade is a for-profit company. It’s certified as a public benefit corporation by the nonprofit B Lab. The certification requires the company to meet certain standards for social and environmental performance, transparency and accountability.