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Lemonade insurance pros and cons
Lemonade auto insurance review
Lemonade was founded in 2015 by Daniel Schreibe and Shai Wininger. Lemonade is known for its easy-to-use digital platform and efficient online claim services. Lemonade is also a public benefit corporation and certified B-Corp. It’s partnered with One Tree Planted and started the Lemonade Giveback program.
Lemonade
car insurance
is the newest addition to Lemonade’s insurance products. Rates start at $30 per month but will vary based on your driving profile. Lemonade doesn’t rank in J.D Power’s auto claims satisfaction survey.
Lemonade offers low mileage, electric vehicle and hybrid discounts. Like most insurance companies, it also provides discounts for bundling your home and auto insurance.
Regions where
auto insurance
is available:
There are four types of insurance coverage: liability insurance (required by most states), comprehensive, collision, and full car coverage. If you lease or finance your car, your lender may require comprehensive and collision coverage.
The difference between the various coverage types is outlined in the table below:
Lemonade homeowners insurance review
Lemonade didn’t make the list for J.D. Power’s homeowners insurance customer satisfaction survey. However, Lemonade ranked #1 in J.D. Power’s renters insurance customer satisfaction survey. Homeowners insurance starts at $25 a month, and renters insurance starts at $5 a month.
Lemonade offers homeowners, condo, co-op, and pet insurance. Like most insurance companies, it provides discounts for bundling insurance products. Lemonade also makes it easy to switch carriers by notifying your lender and managing escrow payments.
Regions where homeowners insurance is available:
- Arizona
- California
- Colorado
- Connecticut
- District of Columbia
- Georgia
- Illinois
- Indiana
- Iowa
- Maryland
- Massachusetts
- Michigan
- Missouri
- Nevada
- New Jersey
- New York
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- Tennessee
- Texas
- Virginia
- Wisconsin
Homeowners insurance protects your dwelling, personal belongings, and offers personal liability coverage for injuries that happen on your property. Standard homeowners insurance looks like the table below, but coverage varies depending on your provider:
*Available as add-on coverage if not part of policy
**Flood insurance is available through the NFIP and approved insurers
***If you live in hurricane or tornado areas, additional windstorm rider may be required
Lemonade life insurance review
Lemonade didn’t make the list for J.D. Power’s life insurance customer satisfaction survey.
Lemonade offers term life policies starting at $9 a month. There’s no medical exam required. Its AI bot, Maya, will determine your rate and qualification by asking questions about your health and lifestyle.
Regions where life coverage is available:
All 50 states plus the District of Columbia except New York.
The two types of life insurance are permanent life and term life. Term life insurance will only cover a specific period of time. When your policy is up, you can reapply for coverage. However, premiums will most likely increase as you age.
Permanent life insurance never expires, has a death benefit for your beneficiaries, and a cash value that you can use during your lifetime. Some financial advisors recommend a combination of term and permanent life insurance.
Lemonade insurance vs. the competition
Is Lemonade trustworthy?
We checked the NAIC Complaint Index for complaints against Lemonade Insurance. Lemonade has significantly more complaints filed against it compared to other top insurers.
Lemonade isn’t rated by AM’s Best rating services, a popular credit rating agency for insurance. However, Lemonade received an A (Exceptional) by Demotech.
While Lemonade is a legitimate insurance provider, it’s important to do your own research to ensure that Lemonade is the right insurance company for you.
