Lemonade insurance review 2025
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At a glance
Auto
2.9
Cost & ratings
2.0
Coverage
3.5
Support
4.2
Home
3.3
Cost & ratings
2.5
Coverage
3.7
Support
4.5
About Bankrate Score
Bankrate's take
Policyholders looking for a digital-only insurance experience with AI-driven claims processing might consider Lemonade.
- Unique AI-powered quoting and claims tools
- Certified B Corporation and Public Benefit Corporation
- Usage-based car insurance in eight states
- Life insurance policies often available without a medical exam
- Unclaimed funds donated annually to charities chosen by policyholders
- Not rated by J.D. Power for auto, home or life insurance
Lemonade car insurance review
Lemonade’s auto insurance product is relatively new to the market, having launched in 2021. Lemonade acquired the usage-based digital auto insurance company Metromile in 2022, introducing its pay-per-mile car insurance the same year. As of 2025, Lemonade car insurance is only available in eight states — Arizona, Colorado, Illinois, Ohio, Oregon, Tennessee, Texas and Washington — though the company plans to expand coverage in the future.
Lemonade received a 2025 Bankrate Score of 2.9 out of 5.0 for auto insurance. Compared to other top car insurance companies, Lemonade has a relatively high NAIC complaint index and fewer discounts available. It uses telematics to base pricing on drivers’ mileage and driving habits. The company also employs artificial intelligence (AI) in the quoting process and policy management.
In theory, this type of digital, AI-driven insurance can speed up insurance tasks and result in more fair, personalized rates than a traditional pricing model. However, it’s worth keeping in mind that individual rates will vary. Additionally, some customers may be uncomfortable with the data-sharing requirements of Lemonade’s pay-per-mile system, which requires location services to be turned on at all times in the Lemonade mobile app.
Pros and cons of Lemonade car insurance
Before you get car insurance quotes from Lemonade, you may want to consider the main advantages and disadvantages of purchasing auto insurance through this company. Pros and cons of Lemonade auto insurance include:
Pros
- Usage-based premiums may be more tailored to your specific driving habits
- Discounts for all electric and hybrid cars, plus emergency charging benefits
- Demotech financial strength rating of A (Exceptional)
- Lemonade plants trees based on mileage to shrink drivers’ carbon footprints
Cons
- Requires all customers to download the Lemonade app and keep location services on
- Currently only available in eight states
- No accident forgiveness or gap insurance available
- Limited discounts available
Lemonade car insurance cost
Average rates for Lemonade car insurance are not available, per Quadrant Information Services. You can get an individual quote directly through Lemonade’s website by selecting “Check Our Prices.” For comparison purposes, the average cost of car insurance is $2,680 per year (or $223 per month) for a full coverage policy and $802 per year (or $67 per month) for minimum coverage.
Lemonade customer satisfaction
Looking at third-party company ratings can help to illuminate how well an insurance company satisfies its customers’ needs. Unfortunately, Lemonade car insurance was not included in customer satisfaction studies by J.D. Power.
While Lemonade does not have a financial strength rating from credit agency AM Best, it received a financial stability rating of A (Exceptional) from financial analysis firm Demotech.
Because expert ratings for Lemonade’s car insurance product are still limited, customer complaint records and real user reviews may be the best indicator of customer satisfaction for Lemonade auto insurance.
Lemonade auto insurance customer complaints
The National Association of Insurance Commissioners (NAIC) tracks customer complaints for U.S. insurance companies and compares each company’s rate of complaints as well as its market share. The resulting score, known as an NAIC Complaint Index, indicates whether a company has a high or low rate of customer complaints relative to its size, with a baseline of 1.00. Scores above 1.00 suggest that a company’s customer satisfaction is low, while scores below 1.00 are a positive sign for customer satisfaction.
Lemonade’s 2024 NAIC Complaint Index for auto insurance customers is 10.09, well above the industry average.
Lemonade car insurance discounts
Lemonade has a fairly limited number of car insurance discounts, possibly because its use of telematics acts as a built-in discount to help customers save on auto insurance. In addition to usage-based pricing, Lemonade offers the following discounts for car insurance customers:
- App use discounts: Drivers can earn discounted rates simply by enabling certain permissions in the company’s mobile app.
- Bundling discounts: Policyholders who also purchase renters, home, life or pet insurance through Lemonade are eligible for a bundling discount.
- Early sign-up discount: If you purchase Lemonade car insurance in advance of your coverage start date, you could earn a discount on your policy, though the company doesn’t specify how far in advance the policy should be purchased in order to receive the discount.
- Hybrid and EV discount: All hybrid and electric vehicles are eligible for a discounted rate.
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Lemonade home insurance review
Lemonade could be among the best home insurance companies for homeowners looking for digital policy management or a chance to give back to charitable causes through their insurance. The digital insurance platform received a Bankrate Score of 3.3 out of 5.0 for home insurance.
Lemonade offers standard home insurance policies along with add-ons like a scheduled property package that can provide additional financial protection for art, jewelry, musical instruments, cameras and bicycles. Swimming pool, water backup and buried utility coverage are also available, along with a variety of other homeowners coverage add-ons.
A key advantage Lemonade promises to homeowners is a digital policy management experience, which includes AI-powered claims filing and customer service directly in the mobile app. Lemonade also donates unclaimed funds to a range of charitable causes, from the American Red Cross to the Trevor Project, through its Lemonade Giveback program. If you’re looking for an affordable home insurance company that invests in social change, it may be worth getting home insurance quotes from Lemonade.
Pros and cons of Lemonade homeowners insurance
Here are a few advantages and disadvantages of Lemonade homeowners insurance.
Pros
- Streamlined claims process via the Lemonade mobile app
- Claim payouts are direct deposited into your checking account
- Ample endorsements available
Cons
- Not available in every state
- Can only purchase online and through the mobile app
- Not rated by J.D. Power
Lemonade home insurance cost
For some homeowners, Lemonade may be one of the cheapest home insurance companies, with Lemonade’s website claiming that homeowners policies can start as low as $25 per month. However, average rates for Lemonade home insurance aren’t currently available, so you will need to request an individual quote through the Lemonade website or mobile app in order to estimate your potential home insurance costs.
For comparison purposes, the average cost of homeowners insurance for a policy with $300K in dwelling coverage is $2,341 per year.
Lemonade customer satisfaction
Third-party ratings offer insight into customer service and real experiences for home insurance customers. In the case of Lemonade home insurance, third-party ratings are limited. The company was not ranked in the J.D. Power 2024 U.S. Home Insurance Study for customer satisfaction.
Lemonade home insurance customer complaints
Lemonade currently sits above the industry average for home insurance customer complaints, according to the NAIC. The company’s 2024 NAIC Complaint Index for home insurance was 3.85, which represents a small but steady increase from past years.
Lemonade home insurance discounts
The only homeowners insurance discount listed on Lemonade’s website is a bundling discount available to customers who also purchase auto insurance or pet insurance through Lemonade. However, the company notes that you may also qualify for discounts if you install protective devices like sprinklers and smoke detectors in your home or if you use the mobile app’s discounts feature.
Lemonade renters insurance review
Renters insurance is one of Lemonade's most widely available policies, available in 29 states and Washington, D.C. Like its home and auto policies, Lemonade takes a tech-first approach to renters insurance. According to its website, coverage can begin in as little as 90 seconds, and it can pay claims just as quickly. Its tech-first approach to insurance helped it land on Bankrate's list of the best renters insurance companies.
With Lemonade renters insurance, your personal belongings are automatically insured at their replacement cost value, as opposed to actual cash value. That means if your stuff is damaged in a covered claim, depreciation won't be factored into your claim payout. Most renters insurance companies charge extra for this type of coverage.
Add-on coverage availability varies based on location. Things like earthquake and flood coverage are available in some states. It also offers additional coverage for valuable items for an upcharge. However, to add this endorsement, you'll need to have your items appraised.
Pros and cons of Lemonade renters insurance
Our Lemonade insurance review revealed the following pros and cons of renters coverage.
Pros
- Advertises cheap renters insurance rates
- Ranked highly by J.D. Power for renters insurance
- Unused premiums donated to charity
Cons
- Not available nationwide
- More complaints than average with the NAIC
- Not many advertised discounts
Lemonade renters insurance cost
Average Lemonade renters insurance rates are not available. However, the company advertises premiums as low as $5 per month. To compare, the national average cost of renters insurance was $14 per month in 2021, according to the most recent data available from the Insurance Information Institute.
Lemonade customer satisfaction
Customer satisfaction rankings for Lemonade are mixed. Although it wasn't scored for home insurance, it did rank highly in the J.D. Power 2024 U.S. Home Insurance Study's renters insurance category. Lemonade earned a 682/1,000, ranking third.
Its NAIC Complaint Index tells a different story. The NAIC sorts its complaints into different policy types, but there isn't one specifically for renters insurance. Renters insurance complaints fall under the homeowner category, along with condo, mobile home and other home-related policy types.
Lemonade has received more complaints than average since 2022, and complaints are on the rise. In 2022, Lemonade received more than twice the volume of complaints as what would be expected for a company its size. In 2024, that figure grew to more than three times the industry average.
Lemonade renters insurance discounts
Compared to its competitors, Lemonade doesn't offer many discounts. On its website, it advertises that customers can save on renters insurance by having security devices like smoke alarms and deadbolts and by bundling renters coverage with other policy types (like car insurance). But, because Lemonade's other insurance products may not be as widely available as its renters insurance, some customers may not qualify for the bundle.
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Answering a few quick questions to check your availability with Lemonade
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Lemonade life insurance review
In addition to home, renters, auto and pet insurance, Lemonade sells term life insurance for lengths of 10 to 40 years, with payouts as high as $100,000,000. Because Lemonade’s life insurance policies are sold online and usually don’t require a medical exam, they could be one of the best life insurance companies for anyone seeking term life insurance with a quick sign-up process.
However, waived exams don’t guarantee that all applicants will qualify. Legal & General Group, which underwrites life insurance for Lemonade, still uses a health questionnaire to determine eligibility through Lemonade’s health and lifestyle AI assistant. Some applicants may be denied coverage or pay a higher rate as a result of their medical history.
Lemonade’s life insurance is available in all U.S. states (except New York) and Washington, D.C. If you’re looking for the best life insurance company for your needs and want term life insurance that may not require a medical exam, you may want to request life insurance quotes from Lemonade.
Pros and cons of Lemonade life insurance
Looking for cheap life insurance can seem intimidating, but making a list of pros and cons to determine where your priorities lie can help.
Pros
- Fast underwriting decision after application
- Often no medical exam required
- Free look period allows for a full refund if policy is canceled within the first 30 days
Cons
- Only term life is available
- Riders may be limited
- Not available in New York
Lemonade life insurance riders
Lemonade doesn’t list life insurance riders on its website. Because Lemonade life insurance policies are underwritten by a different company, the availability of policy riders may vary and could increase the cost of your life insurance.
Compare life insurance providers quickly and easily
See which provider is right for you.
Whole life insurance combines life insurance with an investment component.
- Coverage for life
- Tax-deferred savings benefit if premiums are paid
- 3 variations of permanent insurance: whole life, universal life and variable life include investment component
Term life insurance is precisely what the name implies: an insurance policy that is good for a specific term of time.
- Fixed premium over term
- No savings benefits
- Outliving policy or policy cancellation results in no money back
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Compare Lemonade with other insurers
Lemonade stands out in the insurance marketplace for its unique digital options, investment in social programs and charitable giving, and ethos of transparency and fairness. While Lemonade may be a good fit for some customers, it might not suit all of your needs. You may want to consider comparing rates with other carriers, including the following.
Lemonade vs. Kin
Kin is another tech-forward insurance company. Although it solely sells home insurance and is only available in 11 states — Alabama, Arizona, California, Florida, Georgia, Louisiana, Mississippi, South Carolina, Tennessee, Texas and Virginia — Kin could be an attractive alternative to Lemonade for some homeowners. The company even has a software program that can predict and help pinpoint home damage from storms.
Learn more: Kin Insurance review
Lemonade vs. Clearcover
Clearcover is similar to Lemonade and Kin in its tech-focused approach. The company boasts that its app can pay claims in an average of just seven minutes. While Clearcover only sells car insurance, it partners with Hippo to offer home insurance.
Learn more: Clearcover Insurance review
Lemonade vs. Allstate
Allstate is unlike Lemonade in that it's a big-name national carrier. However, it does offer pay-per-mile insurance in some states through its Milewise program. Additionally, Allstate may appeal to those who want options for doing business in person or online. It has local offices, contact centers and digital tools to accommodate all preferences.
Learn more: Allstate Insurance review
Why you can trust Bankrate
Read our full methodologyThe insurance market can be complicated, but Bankrate's insurance editorial team used our unique perspective to bring readers the information they need to make educated decisions when shopping for a policy.
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Is Lemonade a good insurance company?
Lemonade could be a good choice for you if you prefer to handle your insurance business online or via an app. The company's customer service is largely digital, with agents only coming into play when necessary. Lemonade boasts speedy claims payouts, which can also be appealing, and its focus on philanthropy through the Lemonade Giveback program may appeal to socially conscious policyholders.
Having said that, Lemonade is still somewhat new. Because of that, ratings from third-party agencies like J.D. Power and AM Best are unavailable.
What are real-life customers saying about Lemonade?
Lemonade has mixed reviews for customer service on platforms like Reddit and TrustPilot, which offer a forum for customer insights. As valuable as these insights are, it's important to keep in mind that posts are one-sided and simply opinions. Your experience with the company could differ.
Reddit’s discussion forums dedicated to insurance, homeownership and personal finance revealed some sharp divides in customer opinions. While many users commented on Lemonade’s competitively low quotes, others took the position that “you get what you pay for,” citing problems with coverage and communication from the company.
TrustPilot
The consumer review website TrustPilot shows mostly positive reviews for Lemonade, focusing mainly on the company’s pet insurance product. However, a close reading revealed some mixed perspectives from customers who purchased home insurance and other products from Lemonade, with some users citing poor communication regarding claims and even unexpected cancellation of policies.
What Bankrate staffers have to say about Lemonade
We reached out to Bankrate’s employees to see if any of them were Lemonade policyholders and could give first-hand insight into the experience of working with the company. Here’s what Natalie, one of Bankrate’s insurance writers, had to say about her experience as a Lemonade renters insurance policyholder since 2020.
“When I was looking for renters insurance, my roommate told me to ‘just get Lemonade,’ and that ended up being pretty good advice. Signing up was easy and the premium was really doable with my budget. I've had no issues adjusting my policy, whether I moved to a different apartment or to a different state. I love that I can manage everything from an app and how user-friendly it is. I've been fortunate enough to have never filed a claim, but if it's anything like Lemonade's other processes, I'd be confident doing so.”
Quick facts:
- Customer since 2020 (5 years)
- Only has renters insurance
- Has not filed a claim
Lemonade company details
- Customer service: 1-844-733-8666
- Website: lemonade.com
- Claims email address: carclaims@lemonade.com
State availability
Lemonade auto insurance is available in AZ, CO, IL, OH, OR, TN, TX, and WA. Lemonade home insurance is available in AZ, CA, CO, CT, DC, GA, IL, IN, IA, KY, MD, MA, MI, MN, MO, NV, NJ, NM, NY, NC, OH, OK, OR, PA, TN, TX, UT, VA, and WI. Renters insurance policies are available in 29 states and Washington, D.C. You can check Lemonade’s ever expanding coverage map here.
Lemonade tools and benefits
In addition to tech-driven car, home, renters and life insurance, Lemonade also provides:
- Pet insurance: Lemonade’s pet insurance can help pay for diagnostics, procedures and medication for your pet. This policy could also net you savings on routine care and prevention.
- Mobile app: Lemonade does not have physical locations and does the majority of its business through its mobile app. Lemonade insurance reviews are mostly positive on iPhone and Android. You can use the app to make payments, modify your policy and report claims when they arise.
- Lemonade Giveback: Lemonade states that it wants to “transform insurance from a necessary evil to a social good” by donating unclaimed funds to charities chosen by policyholders each year.
Frequently asked questions about Lemonade
Methodology
Bankrate Score
Our 2025 Bankrate Score for auto insurance considers key variables that our insurance editorial team determined impact policyholders’ experiences with an insurance company. These factors include a robust assessment of each company’s cost of coverage, product availability, financial strength ratings, online capabilities and customer and claims support accessibility. We grouped these factors into three essential categories — cost and ratings, coverage and savings, and support — which we then weighted in a tiered approach.
Each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. Our scoring model provides a comprehensive view, indicating when companies excel across several key areas and highlighting where they fall short.
- Tier 1 (Cost & ratings): To determine how well auto insurance companies satisfy these priorities, our team analyzed quoted premiums from Quadrant Information Services (if available), as well as any of the latest third-party agency ratings from J.D. Power, AM Best, Demotech and the National Association of Insurance Commissioners (NAIC).
- Tier 2 (Coverage & savings): We assessed companies’ coverage options and availability to help policyholders find a provider that balances cost with coverage. Additionally, we evaluated the discount options listed on each company’s website.
- Tier 3 (Support): To encompass the many ways an auto insurance company can support policyholders, we analyzed avenues of customer accessibility along with community support. This analysis incorporated additional financial strength ratings from S&P and Moody’s and factored in a company’s corporate sustainability efforts.
Tier scores are unweighted to show the company's true score in each category out of a possible five points.
Bankrate Score
Our 2025 Bankrate Score considers variables our insurance editorial team determined impact policyholders’ experiences with an insurance company. These rating factors include a robust assessment of each company’s cost of coverage, product availability, financial strength ratings, online capabilities and customer and claims support accessibility. We grouped these factors into three essential categories — cost and ratings, coverage and savings, and support — which we then weighted in a tiered approach.
Each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. Our scoring model provides a comprehensive view, indicating when companies excel across several key areas and highlighting where they fall short.
- Tier 1 (Cost & ratings): To determine how well home insurance companies satisfy these priorities, our team analyzed average quoted premiums from Quadrant Information Services (if available), as well as any of the latest third-party agency ratings from J.D. Power, AM Best, Demotech and the National Association of Insurance Commissioners (NAIC).
- Tier 2 (Coverage & savings): We assessed companies’ coverage options and availability to help policyholders find a provider that balances cost with coverage. Additionally, we evaluated each company’s discount options listed on its website.
- Tier 3 (Support): To encompass the many ways a home insurance company can support policyholders, we analyzed avenues of customer accessibility along with community support. This analysis incorporated additional financial strength ratings from S&P and Moody’s and factored in a company’s corporate sustainability efforts.
Tier scores are unweighted to show the company's true score in each category out of a possible five points.
What policyholders are saying about Lemonade
Lemonade has 50 reviews
Dive into community reviews below and see what others think about Lemonade.
To help serve you with relevant information, the customer reviews shown are limited to only those that this advertiser has received during the past 12 months.
In collaboration with market research firm SliceMR, Bankrate surveyed over 3,000 insurance customers nationwide from 2024–2025, asking policyholders to rate their insurer's cost, coverage, customer support and overall experience on a five-point scale. Bankrate and SliceMR collected and analyzed these customer ratings, along with website analytics and responses to three open-ended questions regarding customer experience. Responses are based on individual policyholders' policy details and personal experience, and therefore cannot be verified for accuracy. Users received an incentive for their feedback. All ratings are unedited and have not been reviewed or approved by insurance carriers. User-generated ratings are separate from carrier Bankrate Scores — which are calculated based on our proprietary methodology — and may not match.
Community Reviews
