Lemonade is an online insurance company based in New York City. It provides low-cost renters, condo/co-op, and homeowners insurance. Lemonade is reinsured by various syndicates of Lloyd's of London. Lemonade is only available in New York, California, and Illinois.

Lemonade insurance works on a mutual insurance model that is powered by AI and behavioral economics. The modern insurance model is based on an adversarial relationship where the interests of insurance company and clients are opposed. The less an insurance company pays out in claims, the better off the shareholders will be. This creates an incentive to deny claims. In Lemonade’s model (aka mutual insurance), the insurance company (i.e. Lemonade) charges a flat fee (20% of the premium) per customer. The rest of the money is used to pay clients’ claims and buy reinsurance from large insurance companies, such as Lloyd’s of London. Any money left over is distributed to charities selected by the clients.  

What Are Lemonade Renters Insurance’s Ratings?

Lemonade has received a Financial Stability Rating of A- Exceptional and they are reinsured by some of the industry's biggest names, such as Lloyd's of London. 

What Coverage Does Lemonade Renters Insurance Offer?

Lemonade offers renters, co-op, and homeowners insurance. Your policy covers everyone in your home who is related to you, which doesn’t include roommates.

Renters and homeowners insurance policies cover your belongings even if they are stolen outside of your home. Lemonade offers replacement value on your things. That means you will receive the cash amount you would need to buy again the item you lost – or a similar one if no longer available. Check your policy for limits on the amount you can claim for your stuff and covered events. You can increase your coverage on expensive items, such as jewelry or works of art.

How Does Lemonade Compare with Other Renters Insurance Companies?

Lemonade’s rates are low when compared to most homeowners and renters’ insurance. A typical renters insurance policy costs $5 a month.

We like:

- Low cost

- Easy to set up

- Donates unused money to charity

- Reduces conflict of interest between insurance company and client

- Insurance company charges a flat fee (20%)

We don’t like

- Not available in all states

- You don’t get to deduct the donation to charity

  • AM Best Financial Strength Rating
  • Property Damage
  • Liability
  • Personal Property Protection
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0 votes

Finally a company that doesnt ask me to fax them, or talk to an agent. Took me literally 2 minutes to get a quote, read a bit more to make sure the coverage is what i need, added extra coverage for my wife's rings and thats it. It was super easy and the best thing, finally a company that doesnt profit ridiculous amounts from my premiums. I'd rather my premiums go to a charity i chose (go ACLU!) than to my insurance company's pockets. I completely recommend Lemonade, finally something ... different! More Less

0 votes

Honestly, I think half of these reviewers are from the industry because they use insurance industry terms I've never heard of. I have Lemonade insurance, I'm a normal 29 year old. I love it. It was easy, it was cheap. I don't feel like they were trying to upsell me on insurance. I didn't have to go to some store to meet with some insurance salesman who's going to tell me I need to get my non-existent fur coats and non-existent firearms insured.

Now what I AM worried about is whether they'll ... be able to pay claims in a timely manner. From a business perspective, I'm worried they're going to experience so much fraud that they can't handle, that if I ever need to file a claim, they'll have shut down or be insolvent or something. But from a typical renter in NYC who needs typical renters insurance, it's the perfect company. Don't listen to the dinosaurs on here who are scared of the insurance industry changing.

ps, I work in tech, so I AM biased. Just not at Lemonade.
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0 votes

My bike was hit by a truck that drove away without leaving info - someone in my office saw it happen and remembered the company's name. I filed a claim with lemonade with only the trucking co's name and my co-worker's story. Within 12 hours of filing I was paid the balance of my bike minus the deductible, and within a week they had found the insurance company for the truck and paid me my deductible as well. The three agents I spoke with were very helpful - I was ... really glad to have this insurance. More Less

1 votes

Can't even deduct the donation to charity, makes me feel the charity aspect is just a marketing gimmick.

1 votes

Don't use the company please. Too good to be true

0 votes

So I file a claim 3 weeks ago, I spoke to someone 2 days after the filing the claim. Was told it will take 24 hours to hear back. Never heard anything. I call, I send email with no response. Then yesterday I get phone call straight to voicemail they we need more information and someone will come out to assess your property. 3 minutes yeah right.

0 votes

I would not recommend lemonade for anyone. Such a horrible experience filed a claim for items that were stolen from my truck they canceled my policy and said that it was un usual behavior this company is a joke.. please stay away from this company I recommend all state for renters insurance!

0 votes

I went through the quoting process and found it difficult to download a full policy jacket for a home owners policy so I can compare it to my brick and Mortar insurance carrier's coverage and exclusions. I did more research on this company and could not confirm it's membership as being re-insured by the CA Guarantee association which means that it's liabilities may not be covered should they be deemed insolvent if that is the case.. This is not real insurance. It is a startup techy app that does not deal ... directly with their customers and no track record to go off of. Do you want to be the Guinea pig with your most valuable assets to a company like this? More Less

0 votes

Stay away! I was referred to them by my management company and the process to apply on line was very simple. Shortly after I signed up I decided to cancel and it is virtually impossible. I sent emails to the agents who helped me sign up and they go unanswered. I have attempted to call them on several times and each time I get a recorded message that refers me to the app. Absolutely no customer service.

0 votes

This is the best insurance company ever. it took me 60 seconds to buy a policy, I am paying half of what I used to pay for Allstate, and my coverage is higher.

I made a claim last week, and got paid instantly, I can't believe it

1 votes

NO NO NO NO AND NO . Take note, most 5 star reviews are from those who don't actually use this garbage excuse for an insurance company. I was just told that items that were stolen from me while travelling WERE NOT COVERED . A similar situation happened unfortunately a few years ago , and Allstate cut me a check within 24 hours. To add insult to injury, they do not have a phone number, so you are stuck dealing with bots and sending messages through their app - not ... even a website... THEIR APP. For sure its cheap and easy to sign up , but when the sh*t hits the fan, YOU WILL NOT HAVE ANY PROTECTION . More Less

1 votes

Lemonade on the surface is a very approachable company and they provide the ability to easily purchase insurance online. Even filing a claim is relatively simple and is completed via the mobile app. Everything Lemonafe does is aimed at making it easy for the customer to do about anything you need without ever having to talk to anyone. Initially I thought this was great, however now that I have filed a claim not having a contact number to a live agent has become the downfall of this company. I was ... initially told that my claim was going to be sent to my bank on a Friday. Now here I am 5 days later and the company has gone completely quiet. I have sent emails, text, and left voicemails on the provided cell phone number of one agent and still no response. On the surface simplicity is amazing, however when it comes down to actually doing business and assisting customers in the claims process this company fails tremendously. More Less

0 votes

LOVE Lemonade- used it through my daughter's school PS33 in Brooklyn. so all of the remaining dollars at the end of the year goes to support our school.

0 votes

I live in Illinois. They do offer renters inurances only here. I just signed up today at 5 dollars per month and it was very easy to get covered.

0 votes

This is exactly what I was waiting for. Insurance that I can understand. Finally this industry is catching up with 2017...

1 votes

Lemonade dresses itself up as the saint of insurance, but it's actually worse than just a plain old mutual. A mutual is an insurance company that pays a dividend if there are excess profits so a policyholder can profit share. However, Lemonade, instead of paying you a dividend, donates the excess profits to charity on your behalf.

This way Lemonade gets to keep the charitable tax deductions, so it profits even more than a typical mutual would. You get nothing.

The user experience was great and the ... price was cheap. However, this was definitely a teaser rate as their prices are comprised of 60% expenses, which is actually worse than the industry. More Less

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