Lemonade Insurance Review

Is Lemonade a good insurance company?

Lemonade is a good company for cheap renters insurance. It has affordable rates and a user-friendly website and smartphone app. However, it has a poor complaint rating from the National Association of Insurance Commissioners (NAIC) . Many of these complaints are for claims.

Who it’s best for

DIY renters insurance shoppers. Its sleek website lets you get quotes, set up your policy and get insurance documents to your landlord within minutes.

Who it may not be the best fit for

Customers who prefer to regularly work with the same agent. Lemonade offers policies directly to their customers using AI bots for both onboarding and the handling of basic claims. They do offer human customer support for emergency claims.

How much does Lemonade renters insurance cost?

Lemonade charges an average of $12 a month for renters insurance. This is 36% less than the national average of $18 a month. Among major companies, only State Farm is cheaper at $11 a month.

Monthly renters insurance rates

Each company’s rates vary by customer, depending on factors like your location and the amount of coverage you need. This makes it good to compare renters insurance quotes from a few companies to find the cheapest rate for your situation.

What does Lemonade renters insurance cover?

Lemonade mostly sticks to the basics with their renters insurance. This includes coverage for:

Like other companies, Lemonade offers extra coverage for jewelry and other valuables you may own. These extras give your costliest items more protection than standard insurance provides.

For dog owners, Lemonade’s renters liability covers dog bites unless you have a “dangerous breed” like a pit bull or rottweiler. You can add tenant pet damage for damage your pet may cause to your unit. It covers deductions from your security deposit when you move out.

What other insurance can I get from Lemonade?

Lemonade’s popular pet insurance is offered in more than 40 states. The company also offers homeowners and condo insurance in about two dozen states and car insurance in 12 states.

How does Lemonade pet insurance work?

Lemonade’s pet insurance covers diagnostics, procedures and medicines for your dog or cat after an accident or illness. An add-on wellness plan will cover routine wellness visits and vaccinations. You can also get a plan for young pets that covers spaying, neutering and microchipping.

Lemonade covers treatment from any state-licensed veterinarian in the U.S. You usually have to pay for treatment first and send in your invoice to get reimbursed.

Deductibles , coinsurance and maximum limits are among the factors that affect the price you pay for pet insurance. On this front, Lemonade gives you more choices than many other companies. Its deductibles range from $100 to $750 a year, and its coinsurance rates range from 60% to 90%.

For example, in Illinois, an accident and illness plan for a 3-month-old Labrador retriever costs $67 a month, with a $250 deductible and 80% coinsurance. You can reduce this rate by choosing a higher deductible or lower coinsurance.

Is Lemonade a good company for homeowners insurance?

Lemonade is just an OK company for homeowners insurance.

On the plus side, it offers useful add-on protections that standard home insurance doesn’t provide. These include:

Lemonade’s insurance policies for condo-unit owners offer similar coverage options.

However, it gets nearly five times as many complaints as average, according to the NAIC. Many of these complaints are over claims payments.

How good is Lemonade’s car insurance?

Lemonade’s car insurance is a work in progress. It’s only currently available in 12 states, though the company has plans to expand. 

Where it does have car insurance, Lemonade offers the same common liability, collision and comprehensive, MedPay, and uninsured/underinsured motorist coverages that other insurance companies provide. It also has temporary transportation and extended glass coverage add-ons.

For drivers in Arizona, Washington, California and Oregon, Lemonade offers pay-per-mile insurance. This can help you save money if you don’t drive very much.

In other states, Lemonade gives you discounts for using the location services feature in its smartphone app. The feature, which sometimes requires a plug-in device, monitors your driving. You can get a lower rate by avoiding speeding, distractions and other unsafe behavior.

One of Lemonade’s cooler features is free roadside assistance when you use its app, except in Oregon. In some states, it also gives you a discount for driving an electric or hybrid vehicle.

Lemonade is not a good company if you need gap insurance, which it doesn’t offer. It also lacks discounts for students with good grades or teens who go off to college without a car.

Is Lemonade good for bundling?

Lemonade can be an affordable choice for a car-and-renters insurance bundle if you don’t drive very much. Depending on your situation, it may also be good for bundling renters and pet insurance.

How does Lemonade compare to other insurance companies?

Lemonade was established in 2015 and continues to promote itself as a new kind of insurance company. Its state-of-the-art website and smartphone app make it easy to shop and manage your policy. This also makes it easy to compare Lemonade’s rates to other quotes that you get.

One thing that sets it apart from other insurance companies is its Giveback program. Each year, the company donates a portion of the revenues it collects from customer premiums to nonprofits that support families in need, rescue animals and other causes. It also plants trees to offset carbon emissions from its car insurance customers. This impact may appeal to customers who want to know their monthly payments are also supporting charities.

Lemonade vs. Progressive

For car insurance, Progressive offers a few coverage options that Lemonade does not have, including gap insurance and custom parts coverage. Like Lemonade, Progressive has an app-based program that gives you a discount for safe driving.

Progressive also offers pet health insurance, including some plans from Pets Best. Progressive’s car insurance includes coverage for injuries your pet suffers while riding in your car.

Since Progressive also offers online quotes, it’s easy to compare both companies’ rates and coverage options side by side

Lemonade vs. Nationwide

Nationwide offers all the insurance products Lemonade does, plus more. It also offers them in many more states.

Lemonade’s pet insurance plans, however, come with higher coverage limits than Nationwide. This can be important if you wouldn’t be able to cover costs after your pet suffers a major illness or injury. Lemonade’s pet insurance plans also have a few more deductible and coinsurance options than what Nationwide offers.

Lemonade vs. Trupanion

Lemonade compares favorably to Trupanion for standalone pet health insurance. One advantage of Trupanion is that it often pays your vet directly. With Lemonade, you have to pay upfront and get reimbursed.

Trupanion also doesn’t have limits on the amount it’ll pay for your pet’s care in a given year. If your pet develops a chronic condition, it only makes you pay one deductible to treat it.

However, Trupanion’s plans only cover care relating to accidents, illnesses and hereditary or chronic conditions. It doesn’t cover wellness visits, vaccinations or the cost of spaying or neutering your pet.

Where can I get Lemonade insurance?

The availability of Lemonade’s insurance products varies by state. The company may also expand some of these insurance lines to other states in the future.