When life gives you lemons, you can have Lemonade!
Lemonade Insurance Company is not your traditional insurance model. It’s different, entirely transparent and driven by technology, which makes the entire process much easier and considerably faster.
Here’s how Lemonade works. The company takes a 20 percent fee off your premium to cover the costs of the business: salaries, operating cost and technology. An additional 40 percent is used to make sure that there’s always enough money to cover every claim. That 40 percent is treated as the customer’s money, not the company’s. So when a claim is made, this is the money used to settle it.
There is also a philanthropic side to Lemonade that makes their insurance model a lot sweeter. Through their Giveback feature, Lemonade donates any remaining money that’s left in the pot to the charity that a customer’s peer group chooses. This goes against the traditional insurance model that seeks to maximize profits for their own company at the expense of consumers. Lemonade does not take the extra profit – it donates it – making the insurance experience a lot more consumer-friendly.
Lemonade simplifies what can typically be a very arduous process. It’s hassle-free, fast and extremely affordable. Renters insurance starts at $5/month and homeowners insurance starts at $25/month. A consumer can buy a policy in just 90 seconds. Claims can be made quickly – in about three minutes – because the process is automated; simply upload a video of your damages through the app. Once a claim is made, money is wired to the customer’s bank.
Currently, Lemonade insurance is available in New York, California, Texas, Rhode Island, New Jersey, Nevada, Ohio, Georgia, Pennsylvania, and the District of Columbia. For everyone else, stay tuned! They’re working on it.
At Billshark, we know that there are other fish in the sea that want to empower consumers and we love sharing them with you. Lemonade makes life easier for customers by saving time, money and hassle. We definitely approve.