Lemonade Car Launches in Oregon

Rhea-AI Summary

Lemonade (NYSE: LMND) launched Lemonade Car in Oregon, becoming the fifth state to offer its full suite of insurance products. This car insurance is designed for low-mileage drivers, allowing them to pay a low monthly base rate plus additional costs based on actual miles driven. Featuring built-in safety elements like crash detection and a quick claims process, Lemonade Car also supports environmental initiatives by funding reforestation in Santiam State Forest. Drivers can benefit from bundling discounts with other Lemonade products, aiming to save customers hundreds annually.

Positive

• Launch of Lemonade Car in Oregon expands its market presence.
• Car insurance tailored for low-mileage drivers may attract eco-conscious consumers.
• Built-in safety features enhance customer experience and reduce risks.
• Opportunity for bundling discounts presents cost-saving options for customers.

Negative

• Ongoing history of losses raises concerns about future profitability.
• Dependence on low-mileage drivers could limit market appeal.

Oregon drivers pay less for driving less while also supporting reforestation throughout the state’s Santiam State Forest

NEW YORK--(BUSINESS WIRE)-- Lemonade (NYSE: LMND), the digital insurance company powered by AI and social impact, today announced the launch of Lemonade Car in Oregon, marking the fifth state where the full suite of Lemonade insurance products are available.

As a state known for its environment-friendly ways and low-mileage drivers, Lemonade Car will be a welcome option for those in Oregon looking for car insurance that aligns with their values—and their wallet. Lemonade Car offers drivers the ability to only pay for the miles they drive on top of a low monthly base price, perfect for those opting for their bike commute or working from home throughout the week. With the Lemonade app, this gives drivers a new option for car insurance with built-in safety features, including free crash detection and emergency services, and access to its quick, efficient claims process. Additionally, Lemonade Car gives back to the planet by funding reforestation efforts throughout Oregon’s Santiam State Forest, known for its Douglas Fir and Western Red Cedars, to help clean up the carbon emissions of its drivers.

With Lemonade, drivers across Oregon can access its top-rated insurance, including:

• Determining their price with their mileage each month: Policies will be priced based on the driver’s mileage. With a low monthly base rate plus a few cents per mile, drivers will only pay for the miles they actually drive —perfect for low mileage drivers.
• Benefits for environment-conscious drivers: Lemonade Car offers ideal coverage for low mileage drivers and funds reforestation to help clean up after customers’ carbon emissions, over time.
• Fast claims and emergency services when needed: Lemonade Car features a first-of-its-kind claims process that allows customers to file claims in minutes, as well as the ability to customize coverages, add a new car, and more through the Lemonade app. When needed, drivers can also access tow services, emergency EV battery recharge, and the option to track repairs, body shop work, and more.
• Insurance backed by data: With billions of miles of data under the hood, Lemonade Car has the expertise to provide low rates and handle claims quickly and efficiently.
• Discounts for bundling: New and existing customers in Oregon can receive discounts when bundling with other Lemonade products - Renters, Homeowners, Pet, and Life - to save up to hundreds of dollars a year.

Lemonade created a guide for drivers to help navigate the nuances of car insurance in the state of Oregon. Whether it’s a breakdown of what’s required or extra coverage that might be good to have, drivers can find it all in Lemonade’s Oregon car insurance guide.

About Lemonade

Lemonade offers renters, homeowners, car, pet, and life insurance. Powered by artificial intelligence and social impact, Lemonade’s full stack insurance carriers in the US and the EU replace brokers and bureaucracy with bots and machine learning, aiming for zero paperwork and instant everything. A Certified B-Corp, Lemonade gives unused premiums to nonprofits selected by its community, during its annual Giveback. Lemonade is currently available in the United States, Germany, the Netherlands, France, and the UK, and continues to expand globally.

Follow @lemonade_inc on Twitter for updates.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, but not limited to, statements regarding any cost savings, discounts, rates, and carbon emissions cleanup. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance, product offerings, pricing or achievements to be materially different from any future results, performance, product offerings, pricing or achievements expressed or implied by the forward-looking statements, including, but not limited to, the following: Our history of losses and the fact that we may not achieve or maintain profitability in the future; our ability to retain and expand our customer base; the fact that the “Lemonade” brand may not become as widely known as incumbents’ brands or the brand may become tarnished; the denial of claims or our failure to accurately and timely pay claims; our ability to attain greater value from each user; the novelty of our business model and its unpredictable efficacy and susceptibility to unintended consequences; the possibility that we could be forced to modify or eliminate our Giveback, which could undermine our business model; the examinations and other targeted investigations by our primary and other state insurance regulators that could result in adverse examination findings and necessitate remedial actions; our limited operating history; our ability to manage our growth effectively; the impact of intense competition in the segments of the insurance industry in which we operate on our ability to attain or increase profitability; the unavailability of reinsurance at current levels and prices, which could limit our ability to write new business; our ability to renew reinsurance contracts on comparable duration and terms to those currently in effect; our exposure to counterparty risks as a result of reinsurance; the loss of personal customer information, damage to our reputation and brand, or harm to our business and operating results as a result of security incidents or real or perceived errors, failures or bugs in our systems, website or app; our actual or perceived failure to protect customer information and other data, respect customers’ privacy, or comply with data privacy and security laws and regulations; our ability to comply with extensive insurance industry regulations and the need to incur additional costs or devote additional resources to comply with changes to existing regulations; our exposure to additional regulatory requirements specific to other vertical markets that we enter or have entered, including auto, pet and life insurance, and the need to devote additional resources to comply with these regulations; the ability of Lemonade to successfully complete the integration of Metromile’s operations, product lines and technology; the ability of Lemonade to continue to implement its plans, forecasts and other expectations with respect to Metromile’s business and realize additional opportunities for growth and innovation; the ability of Lemonade to realize the anticipated synergies from the transaction in the anticipated amounts or within the anticipated timeframes or costs expectations or at all; the ability to maintain relationships with Lemonade’s and Metromile’s respective employees, customers, other business partners and governmental authorities; and the other risks, uncertainties and important factors contained and identified; and our inability to predict the lasting impacts of COVID-19 to our business in particular, and the global economy generally. These and other important factors are discussed under the caption “Risk Factors” in our Form 10-K filed with the SEC on March 3, 2023, and in our other and subsequent filings with the SEC, could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management’s beliefs as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230329005294/en/

Natalie Gerke

natalie.gerke@lemonade.com

Source: Lemonade

FAQ

What is Lemonade Car and when was it launched in Oregon?

Lemonade Car is a car insurance product launched by Lemonade in Oregon, marking its availability in five states.

How does Lemonade Car pricing work in Oregon?

Pricing for Lemonade Car is based on mileage, with a low monthly base rate plus a cost per mile driven.

What environmental initiatives does Lemonade Car support?

Lemonade Car funds reforestation efforts in Santiam State Forest as part of its commitment to sustainability.

What are the benefits of using Lemonade Car insurance?

Benefits include tailored pricing for low-mileage drivers, fast claims process, safety features, and potential discounts for bundling with other policies.

Is Lemonade currently profitable?

Lemonade has a history of losses and may face challenges achieving profitability in the future.