Lemonade Life Insurance Review
Lemonade, founded in 2015, offers a digital-first approach to term life insurance. With a 4.5-star NerdWallet rating, Lemonade is frequently considered by consumers looking for a convenient way to secure coverage. This review assesses the pros and cons, financial strength, policy options, customer experience, and rates associated with Lemonade’s life insurance products.
Lemonade may be a good fit for consumers looking for a quick, convenient way to buy term life insurance.
Pros and Cons
Pros:
- Wide range of term lengths available.
- Policies can be issued quickly, sometimes within minutes.
- Qualifying applicants may be able to secure millions in coverage online.
Cons:
- Policies are not available nationwide.
- Coverage cannot be converted to permanent life insurance.
- Limited customer service options.
About Lemonade Life Insurance
Lemonade offers term life insurance policies that are available in all states except New York. Policies are underwritten by Legal & General and are available through a streamlined, digital application process, with policies often going into effect the same day.
Lemonade Life Insurance Policies
Lemonade offers term life insurance with terms of 10, 15, 20, 25, 30, 35, or 40 years. Coverage amounts start at $100,000 and can go into the millions, based on eligibility. The application process is designed for individuals aged 20 to 75, but those with a history of specific medical conditions may not qualify. The insurer also offers an accelerated death benefit rider, which allows policyholders to access a portion of their death benefit if they’re diagnosed with a qualifying terminal illness.
Lemonade Life Insurance Rates
The rates for term life insurance from Lemonade vary based on the applicant’s age, health, lifestyle, occupation, and driving record. Below are sample monthly rates for a 20-year, $500,000 term life insurance policy for a non-smoking man and woman in excellent health.
Source: Insurer’s site. Rates generated on 10/22/24.
Lemonade Customer Complaints and Satisfaction
Lemonade’s life insurance policies are issued by Legal & General, and over a three-year period, the company has received fewer complaints than expected by state regulators, relative to its size, according to NerdWallet’s analysis of data from the National Association of Insurance Commissioners.
Applying for a Policy with Lemonade
The application process on Lemonade’s website is structured as a question-and-answer session with the company’s AI chatbot, Maya. The application gathers personal details, including height, weight, and citizenship status, as well as information about medical history and lifestyle. Applicants are then asked about the desired coverage amount and term length, with an estimated price provided after contact information is entered. The process can be completed online, or by phone through Legal & General.
Customer Experience
Lemonade’s user-friendly website facilitates online applications and provides key information clearly. However, getting in touch with a human representative can be challenging. While the company offers phone support, it can be difficult to speak with a live agent, as confirmed by our own attempts to contact them. The chatbot, Maya, can provide automated support through email, but live chat with an agent is unavailable. The Lemonade mobile app has high ratings from users, although some glitches have been reported.
How Lemonade Compares to Other Insurers
Here is a quick comparison based on NerdWallet’s rating system:
More About Lemonade
Existing customers can use the Lemonade app to manage their coverage and update contact details. Besides life insurance, Lemonade also offers property and casualty insurance products. For more information, you can review the other review articles on the NerdWallet site.
Contacting Lemonade
- Phone: 844-733-8666, Monday through Friday, 9 a.m. – 8 p.m. Eastern time.
- Email: [email protected]
- Live chat: Logged-in users, can interact with Maya, Lemonade’s chatbot.
