Introducing The First Live Insurance Policy
Shai Wininger

Quote: “Then, customers would need to pay for some changes, and probably get a new policy sent to them in the mail (snail mail, of course). That’s where the red tape and long wait times come in….”

Observation: So, the changes listed in the article wouldn’t in some cases result in additional premium? And what carrier mails an entirely new policy for changes as described in the article? This is nonsense and it is not an accurate nor an honest statement.

Quote: “As far as we know, no other insurance company allows its customers to modify their coverages or even cancel their policy on their own.”

Observation: If anyone actually CARES about the customer, why would they want to facilitate an untrained person to make a change that, unbeknownst to them, could create a serious exposure gap? So Lemonade would allow, with no questions asked or intervention by customer service, one spouse to remove another spouse even if both are named insureds?

The insured, without question, can remove a landlord as an additional insured on a policy even if the lease contractually requires them to be covered? How many insureds read their leases or insurance policies? How many would know the potential liability they’re incurring?

This is why knowledgeable agents serve a purpose. Most insurance agents are required by law to pass examinations and engage in state-approved continuing education. How is a consumer who knows pretty much nothing about insurance supposed to make coverage decisions on their own without the training that state regulators require of agents?

Quote: “Even if you buy renters insurance directly from the likes of GEICO or Progressive, the only part that’s direct is taking your money and sending you a policy. Everything else requires customers to contact customer service — which we all know can be… painful. That sucks.”

Observation: What can be far more painful is the inability of an uneducated, ill-informed, and unsuspecting consumer to contact customer service in order to obtain the counsel and advice of a properly trained and knowledgeable insurance agent.

It sounds like Lemonade is adopting a practice that saves THEM a lot of time and lessens the need to hire competent insurance advisers and SELLING it as a benefit to consumers? In other words, Lemonade is reducing their workload, increasing consumers’ risks of loss, and making their customers thank them for it.

Who is the real beneficiary here?