insurtech 15/April/2019

Insurtech News > AI-powered insurtech Lemonade raises $300m in Series D round

The Japanese group also led the Series C round in Lemonade in December 2017, which saw the insurtech company raise $120m.

In addition to SoftBank, the other investors who have taken part in the latest funding round of the insurance start-up are Allianz, GV, General Catalys, OurCrowd, and Thrive Capital.

The capital raised from the Series D round is expected to help in Lemonade’s US and European expansion this year, and also in exploring new product lines.

SoftBank Group investment professional Shu Nyatta said: “We’ve watched Lemonade transform insurance using big data and AI, reaching half a million homes in a little over two years – a shockingly rapid pace.

“And we’re confident that the best is yet to come. The value Lemonade provides, together with the values baked into its model, are fast making it one of the most intriguing, differentiated and compelling brands.”

Licensed as a full-stack property and casualty insurance carrier, the company started providing homeowners and renters insurance in New York in late 2016. As of now, the company is offering its insurance services, powered by artificial intelligence and behavioral economics, for a majority of the US population.

Lemonade, which is engaged in digitizing the entire insurance process, replaces the concept of brokers and bureaucracy through bots and machine learning, thereby aiming at zero paperwork and making everything instant.