Lemonade files for IPO to raise $100m

Lemonade has filed for an Initial Public Offering (IPO) on the New York Stock Exchange, with the aim of raising at least $100 million.

The US InsurTech launched in 2015, building a fully-licensed home insurance product, but through an app.

Its business model keeps a flat fee of 25 per cent of customers’ premiums, using the remainder to pay claims and donate to charity. It has so far been successful, with the IPO documentation showing revenue of $26 million in the three months to 31 March, compared to $11 million for the same period in 2019.

However, losses during the quarter were $36.5 million, up from $21.6 million last year.

Lemonade raised $300 million from SoftBank in April last year, valuing the business at $2.1 billion. The valuation and share pricing of this IPO has not yet been decided.

“By leveraging technology, data, artificial intelligence, contemporary design, and behavioural economics, we believe we are making insurance more delightful, more affordable, more precise, and more socially impactful," read the prospectus.

"To that end, we have built a vertically-integrated company with wholly-owned insurance carriers in the United States and Europe, and the full technology stack to power them.”

    Share Story:

Recent Stories


Data trust in the AI era: Building customer confidence through responsible banking
In the second episode of FStech’s three-part video podcast series sponsored by HCLTech, Sudip Lahiri, Executive Vice President & Head of Financial Services for Europe & UKI at HCLTech examines the critical relationship between data trust, transparency, and responsible AI implementation in financial services.

Banking's GenAI evolution: Beyond the hype, building the future
In the first episode of a three-part video podcast series sponsored by HCLTech, Sudip Lahiri, Executive Vice President & Head of Financial Services for Europe & UKI at HCLTech explores how financial institutions can navigate the transformative potential of Generative AI while building lasting foundations for innovation.

Beyond compliance: Building unshakeable operational resilience in financial services
In today's rapidly evolving financial landscape, operational resilience has become a critical focus for institutions worldwide. As regulatory requirements grow more complex and cyber threats, particularly ransomware, become increasingly sophisticated, financial services providers must adapt and strengthen their defences. The intersection of compliance, technology, and security presents both challenges and opportunities.

Unleashing generative AI: A force multiplier for financial crime teams
This FStech webinar, sponsored by NICE Actimize sees industry experts examine the revolutionary impact of generative AI on financial crime operations, and provides actionable insights to enhance your compliance strategies.