inside of fancy apartment with art and sculptureLemonade Renters Insurance Review
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Lemonade delivers a fast experience to quote and buy renters insurance. But what does that mean for you, the customer?

Lemonade just completed its Initial Public Offering to expand its home and renters insurance products globally to Europe and move into other insurance product categories, like pet insurance. They've got a slick interface and competitive pricing. They are even using artificial intelligence and machine learning to payout claims instantly for simple losses.

A Fresh Approach To Renters Insurance

Lemonade is trying to re-think the traditional insurance carrier model in attempting to align itself with the policyholders. Lemonade takes a flat fee upfront -- which is 25% of the total policy premium -- to run the business operations and will pay anything leftover to charity groups selected by the insured. The charity donations make them a certified B-corporation.

Lemonade is also innovating in other areas, such as crowdsourcing a brand new digital insurance policy - one that the average person not from the insurance industry can understand. Insurance is incredibly complicated from a regulatory standpoint, and lawyers write most policy documents. Lemonade's new approach can bring a differentiated new product to the renters insurance market. In the meantime, they currently sell on the same industry-standard HO-4 ISO forms.

The Product

The vast majority of Lemonade's business is renters insurance. They allow you to add extra coverage for valuables, such as jewelry and bicycles, and have flexible deductible options. Consumers with more complex needs will still need to look elsewhere as Lemonade doesn't yet have solutions for rental property policies, secondary homes, or vacant homes. Lemonade is only four years old, so it is still expanding into new product types rapidly.

If you buy a policy with them, you have to download the Lemonade Insurance Mobile App (iOS and Android) to manage your plan, submit a claim, and retrieve information on the details of your policy - like your declarations page or proof of insurance. The Lemonade app handles everything from policy updates to processing claims.

The Carrier

Lemonade is a fully licensed insurance carrier, but they do sell off some of their risk to reinsurance partners. They are not yet rated as a carrier by A.M. Best, as this process can take many years, but they did receive an A rating from Demotech.

The Claims

Lemonade holds the world record for paying a claim in 3 seconds. Great job on moving the goal post on what is possible in the insurance industry! However, a customer should not expect this for all types of claims. Filing a claim with a chatbot might sound great in theory, but there are lots of grey areas in insurance and instances where you want to talk to a human. Lemonade does have a customer support phone number 844-733-8666, but it can be challenging to get a rep on the phone.

The Reviews

Customers love the fast buying experience and affordable rates Lemonade provides. They sometimes experience frustration with the claims experience, but this is not uncommon in insurance.

Where can I buy Lemonade Insurance?

Lemonade Insurance state coverage map

The bottom line for Lemonade Insurance: fast signup, gorgeous tech, competitive rates, limited product selection, and improving customer support. Excellent work, Lemonade, and welcome to the insurance market!

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At your service,
Young Alfred

Disclosure: Lemonade is one of the many options that Young Alfred offers for renters insurance. Young Alfred did not receive any compensation or direction from Lemonade in writing this review.