If you’re tired of the paperwork that comes with working with huge, old-school insurance companies and don’t require a lot of extras for your renters, cars, or homeowners policy, Lemonade might be a good change of pace with very reasonable prices. Lemonade has invested in cutting-edge technology, so the quote process is smooth, and many delighted customers say their claims were paid swiftly and their overall experiences were positive. Learn if Lemonade is the best car insurance company for you by reading our review of the company’s coverage, price, and discounts.
Lemonade Car Insurance Review
Lemonade is a tech-savvy insurance company that now provides car insurance coverage. As part of this process, Lemonade bought the pay-per-mile car insurance company Metromile in 2022. The best thing about the company is that you can quickly and easily get insurance and get paid when you file a claim. Also, Lemonade is a registered B corporation, which means it is a public benefit company. It takes a flat fee, pays customers’ claims quickly, and gives back through its Giveback program, which gives money to non-profits.
Lemonade car insurance is only offered in five states right now: Ohio, Illinois, Oregon, Tennessee, and Texas. However, more states should be added soon. Furthermore, Lemonade is newer to the insurance business, so it doesn’t have as much data as some other companies. For example, AM Best hasn’t given it a grade for financial stability, and J.D. Power’s survey of car insurance customers hasn’t given it a score.
The National Association of Insurance Commissioners (NAIC) says that Lemonade doesn’t have any complaints about its car insurance coverage. This can be because Lemonade is still new to giving car insurance. Lemonade is a company that Daniel Schreiber and Shai Wininger founded in 2015. It began with offering Lemonade home insurance and renters insurance, but in 2021 it moved into offering Lemonade auto insurance as well.
Lemonade Car Insurance Review: Coverage Options
Like other auto insurance companies, Lemonade offers the following review of standard car insurance coverage types:
#1. Insurance Coverage for Liability
If you cause an accident and hurt someone or damage their property, your liability car insurance will pay for their medical bills and other costs. Liability insurance also covers court settlements, attorney fees, and judgments related to auto accidents you cause.
#2. Comprehensive Insurance
Comprehensive car insurance covers both theft and damage to your car from things like fire, hail, hitting an animal, or falling objects.
#3. Insurance for Collisions
If you get into an accident and damage your car, collision insurance will pay to fix it or buy a new one. It compensates you if you hit something, like a wall or fence. You can choose not to have either, but if you have a loan or lease, your lender or rental company will probably make you get both collision and comprehensive coverage.
#4. Protection for Personal Injury (PIP)
In addition to covering your medical costs, personal injury protection coverage also covers lost wages and replacement services like child care if you’re unable to work. 15 states require PIP, while other states let you choose not to have it, and some don’t offer it at all.
#6. Coverage for Medical Payments (MedPay)
Regardless of who was at fault in a car accident, Medical Payments Coverage (MedPay) pays for medical bills for you and your passengers. In some states, it’s necessary, but in others, it’s not.
Lemonade Car Insurance Review: Additional Coverage Options
The majority of auto insurance providers offer the same suite of goods; however, when it comes to the additional coverage alternatives, they often differ from one another. These are also sometimes referred to as riders. The additional review of coverage options that Lemonade Car Insurance offers is as follows:
#1. Coverage for Uninsured Drivers
With this choice, you might be able to protect yourself if you get into an accident with a driver who doesn’t have insurance. Some people on the road don’t follow the rules, even though they should. That being said, this type of coverage might help pay for any damage to your car or medical bills you have to pay if someone gets hurt and the other person doesn’t have insurance.
#3. Coverage for Underinsured Drivers
Even if a driver has some insurance coverage, it may not be enough in this case. In an accident with a driver who doesn’t have enough insurance, this type of coverage helps to pay for repairs or medical bills for people who were hurt.
#3. Temporary Coverage for Transportation
Lemonade stands out with this choice because if your car is being fixed, it’s not just a straight rental reimbursement. Lemonade instead covers a range of ways to get around, such as renting, ridesharing, and public transportation. There will be a daily cap, and this will provide coverage for up to 30 days.
#4. Glass Coverage That is Extended
Rocks, dirt, and other things can hit your glass and crack or damage it. That way, this type of coverage can fix your glass without you having to pay a large amount. The company’s website says that if you have collision and comprehensive coverage, you can get coverage for more glass and have either no or a cheap deductible. In some places where Lemonade sells car insurance, this might not be possible.
#5. Roadside Help
Roadside assistance can help you if you get a flat tire, run out of gas, get locked out, or get stuck. You can use the Lemonade app as part of your coverage if you get Lemonade car insurance and choose either comprehensive or accident coverage. Each driver with Lemonade coverage can make three service requests every six months. Any further than that, you’ll have to pay for roadside help yourself.
These additional coverage options can help you in a variety of situations and complete your protection. Just be aware of possible limits, like when you need roadside help. We do not currently offer gap insurance or ridesharing insurance through Lemonade.
Lemonade Car Insurance Review: Discount
The price of Lemonade car insurance offers a variety of discounts to help drivers save money on car insurance.
#1. Discount for Accident-Free
You can save money on your insurance if none of the users on it have had an accident or claim in the last five years.
#2. Discount on Anti-Theft
Whether the manufacturer installed the anti-theft features or someone else did, you can receive a discount.
#3. Bundling (multi-policy)
If you buy Lemonade car insurance along with any of its other goods, like homeowners, renters, life, or Lemonade pet insurance, you can save money.
#4. Low Mileage Reduction
If you drive less, your lemonade care insurance price will go down.
#5. Multiple Car Savings
You can get a discount on your Lemonade auto insurance if you cover more than one car.
#6. Discount for Senior Drivers
You can save money if you’re 55 or older and have taken an approved safe driving course in the last three years. This is also known as a “mature driver discount.”
#7. Discount for Smart Technology
That saving might be yours if your car has automatic emergency braking or blind-spot warning safety features that came with it from the factory.
#8. Discount for Teen Drivers
You can save money if you have a licensed driver under 19 years old and your coverage is eligible for the “continuous insurance” discount.
#9. Discount for Three-Year Safe Driving
If you haven’t been in an accident or broken the law for at least three years, Lemonade car insurance will give you a discount price.
Lemonade Car Insurance Review: How To File A Claim
48% of Lemonade claims were about theft, so it happens a lot. In addition, calling your insurance company quickly will not be something you want to do after having your things stolen. However, putting in a claim at Lemonade is very simple and quick. While giving you their normal (big) dose of empathy and love, the number one goal is to get back to you as soon as possible.
They pay most simple claims right away because their bot, AI Jim, speeds up the easy parts of your claim. But they’ll send your claim to the (human) claims team for a more thorough review if it makes things more complicated.
You need to utilize the Lemonade auto insurance mobile app to file a claim with the company. According to the information provided on the company’s website, filing a claim will only take a few minutes. During the processing of the occurrence, you will be asked several questions concerning it.
Lemonade Car Insurance Review: Step-by-step Guide To Filing A Claim
Here’s how to file a theft claim with Lemonade, step by step.
#1. Open the Lemonade App
Simply open the app on your phone to send in your claim. Use the email address you used to get your Lemonade insurance to download it and sign in. Just a few notes:
- Before filing your claim, you should always call the police or emergency services.
- Request a family member or friend to let you use their phone to get to the Lemonade app if your car was stolen.
#2. Meet AI Jim
Follow the process.
- Once in the Lemonade app, hit the pink ‘File a Claim’ button in the top right-hand corner.
- Introducing AI Jim, the claims expert He’ll start by making sure your contact information is correct and asking more questions about what happened.
- Sign a digital Pledge of Honor to make sure that everything you provide about your claim is correct.
- Relate exactly what happened in a short video clip (because who has time to type a report?). This should take one minute at most. Imagine you’re talking to a friend, and tell them what you’re saying. It’s only for reviewing your claim.
#3. Scan Your Police Report
Next, snap your police report with the app. How do I receive police reports? If your goods were stolen, notify the police. Ask for:
- Your police report listing stolen items and values
- Number of incidents
- Name of officer
If you forgot to get a copy of the report at the time of the theft, visit your local police department’s website and follow their recommendations.
#4. Tell Them Everything Was Stolen
1. Please identify the stolen items and confirm ownership. AI Jim wants you to list:
- Name of item
- Item price ($)
- When and where did you buy it?
2. Prove you own these products too. Purchase receipts or email order confirmations are best.
To do this,
- A complete summary of your information follows. Make sure your claim information is correct before submitting.
- Register your bank account so we can pay the money if your claim is authorized.
What is Lemonade Car Insurance’s price?
To answer this question, there is no one right answer. There are no specifics given on their website, but it says that their lemonade car insurance price starts at $30. If you choose a high deductible, however, the amount you pay will depend on your current situation, the coverage and extras you choose, and their machine learning algorithms and AI help Lemonade provide low-cost insurance prices.
Not knowing how much it will cost until you see the price it makes just for you is the only bad thing about lemonade car insurance. For them to see the price and decide if it’s worth it, you have to give them a lot of information.
Who owns Lemonade insurance?
Shai Wininger, Ty Sagalow, and current CEO Daniel Schreiber founded Lemonade in 2015.
How long does it take Lemonade to pay a claim?
it might take 1-2 days for the funds to appear
How long does Lemonade take to file a claim?
According to our research, the average claim turnaround time was 12 to 18 days.
Why is lemonade insurance so popular?
Lemonade stands out as one of the best homeowners insurance companies in the industry for its unique claim-filing process that uses a mobile app with artificial intelligence (AI) technology to process information and make payouts to homeowners seamlessly and hassle-free.
Is Lemonade insurance profitable?
Despite its outsized growth, Lemonade is far from being consistently profitable