Lemonade Car Insurance Pricing 2024

Lemonade car insurance sits below the national average for car insurance rates. The average annual rate for full coverage car insurance with Lemonade is $1,380, while the national average is $1,924. Lemonade bases premiums on what it calls a Safety Score, which is determined by a few factors:

• Mileage: The fewer miles you drive, the lower your premiums will be.
• When you drive: Car accidents are more likely at night, so you can save by driving during the day.
• Where you drive: The types of roads you drive on matter, as well. Lemonade lowers premiums if you drive on simple street networks and highways, but you could be charged more if you drive on congested or complex roads. To save the most, avoid four-way stop signs, off-ramps, sharp twists, and double left turn lanes.
• Weather: Although it’s not always in your control, Lemonade will lower rates for driving in sunny weather versus in the snow, rain, or hail.
• Driving behaviors: To get the biggest discount, you’ll need to avoid harsh braking, rapid accelerating, cornering, and using your phone while driving.

The Lemonade app measures these factors and turns the data into a Safety Score from one to 10. However, the Safety Score isn’t the only factor that determines your car insurance rates. It also uses factors that most car insurance companies use, such as:

• Driving history
• Vehicle model, make, age, and mileage
• Drivers on your policy
• Coverages
• Limits
• Deductible

Here are Lemonade’s costs for different driver profiles:

When shopping for rates, be sure to compare apples to apples. Have the same amounts listed for chosen coverages, such as comprehensive, collision, medical payments, and property damage liability.

• Bundle discount: Lemonade has other insurance products that qualify you for a discount when you add them along with your auto insurance policy. Unlike other companies that only bundle with homeowners or renters insurance, Lemonade provides a discount if you have pet health insurance or term life insurance.
• Driving with location services on: When you give Lemonade more access to your driving patterns by allowing the app’s location services to run while driving, you become eligible for another discount on top of per-mile savings.
• Hybrid/EV discount: When you insure a hybrid or an electric vehicle (EV), you’ll get a discount.
• Savings for planning ahead: Get a discount when you sign up for auto insurance before your coverage start date.

Per-Mile Price Model

Lemonade is a new breed of car insurance that prices policies based on actual miles driven, partially. The less you drive, the more you save. The best part is that it no longer requires a telematics device. You can track your driving using the Lemonade app on its own.

Emergency Charging

Lemonade has extra, free perks for people who drive EVs. If you’re stuck somewhere with your EV battery drained, Lemonade will send a charging truck to your location. You’ll get the charge you need to get home and plug in. But note that you’ll still have to pay for the charge itself, even though roadside assistance is included with all Lemonade car insurance policies.

Temporary Transportation Coverage

Most insurance companies offer rental car reimbursement coverage, which pays for the rental of a vehicle while yours is in the shop under a covered claim. In addition to rental car coverage, Lemonade offers temporary transportation coverage. It offers a daily limit that you can use for either rental car coverage, public transportation, or rideshare costs.Note that you can only add on temporary transportation coverage if you already have collision and comprehensive coverage.

Extended Glass Coverage

Comprehensive coverage pays for your property damage other than collisions such as when a tree falls on your car or a thief breaks in. If you have collision and comprehensive coverage, you can opt for extended glass coverage, which means that you can choose a lower deductible, or no deductible, just for the glass.

Lemonade car insurance is a new carrier, having opened its doors in 2015. As of December 2024, car insurance is available only in:

• Arizona
• Illinois
• Ohio
• Oregon
• Tennessee
• Texas
• Washington

Lemonade also owns Metromile, another pay-per-mile insurer, which is available in:

• Arizona
• California
• Illinois
• New Jersey
• Oregon
• Pennsylvania
• Virginia
• Washington

Lemonade has a notification service for those who want to know when its insurance will be available in their area. It may also use this service to gauge interest areas and plan its next rollout, so signing up may help Lemonade become available in your area sooner rather than later. Sign up to be notified here: ​https://www.lemonade.com/lemonade-goes-global.

To cancel your policy, log in to the Lemonade app, select your policy, and hit Cancel.When you cancel, you’ll get a refund of any prepaid premium.

Daniel Schreiber and Shai Wininger founded Lemonade insurance in 2015.¹ The company maintains its headquarters in New York. It offers homeowners, renters, pet, life, and car insurance.

The car insurance arm of the company launched in 2021 when it announced it would offer “Lemonade Car,” but it wasn’t until 2022 that it acquired Metromile. Metromile offers premium per-mile insurance policies that fit with the policies that Lemonade developed. Lemonade finalized the acquisition in July 2022.²²

Lemonade’s business model allows you to do everything from signing up to processing a claim from its app directly. However, there may be times when you want to give the company a call or send an email. The contact information for Lemonade is as follows:

• Phone for emergencies: 844-733-8666
• Email for claims: carclaims@lemonade.com

If you are in a state where Lemonade car insurance is available, it makes sense to get a quote. The rates can be highly competitive, falling well below the national average, and the price-per-mile model is ideal for those who don’t drive far daily. On top of its great rates, it offers a plethora of discounts to help you save even more. Take the time to get a Lemonade car insurance quote today and see how much you can save. On the other hand, if you prefer to work with an agent to purchase and manage your car insurance, Lemonade’s digital-centric model may not be the best fit for you.