Lemonade, a NYC-based insurance company powered by artificial intelligence and behavioral economics, raised $300m in Series D funding.
The round was led by SoftBank Group, with participation from Allianz, General Catalyst, GV (formerly known as Google Ventures), OurCrowd, and Thrive Capital.
The transaction – which is subject to customary closing conditions including regulatory approvals – is targeted to close in Q2 2019.
The company plans to use the funds to accelerate its US and European expansion in 2019, and explore new product lines.
Founded by tech veterans Daniel Schreiber and Shai Wininger, Lemonade is licensed as a full-stack property and casualty insurance carrier. The company began offering homeowners and renters insurance in New York in late 2016, and is now available for most of the US population.
In addition to digitizing the entire insurance process, Lemonade reduces costs and bureaucracy through giving. As a Certified B-Corp, it takes a fixed percentage as a flat fee, eliminating the conflict between paying claims and making a profit, and donates a portion of unclaimed premium dollars to nonprofits during its annual ‘Giveback.’