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Lemonade Renters & Home Insurance Review of 2022

Read a review of Lemonade renters and homeowners insurance. Includes the pros and cons of this provider, their customer service experience, and detailed information on what is covered in a policy from them.
lemonade home insurance
Editors star rating review
Editor's Rating (4.5 Stars out of 5)

If you’re looking for a new insurance company and want to find one that provides higher limits of coverage, more discounts, and lower premiums than your current carrier but still has the same level of quality service, Lemonade is worth considering.

Lemonade makes it simple to get a quote on home and renters policies in just minutes with an easy-to-use app or website.

Lemonade home and renters’ insurance both offer broad coverages with the option to personalize your coverages.

Many coverage limits, such as those for cameras and jewelry, can be increased at any time.

Tech-savvy insurance shoppers enjoy Lemonade’s award-winning app and an online portal.

What Makes Lemonade Different?

Lemonade Insurance was founded in 2015 and offers various types of insurance, including home and renters’ insurance.

It was founded by people who thought the old way of rating and issuing insurance policies was outdated and not always the best for everyone.

The company’s automated systems make it possible to get new policies approved within minutes.

Lemonade Insurance is a newcomer to the insurance industry, and in many ways, it is different than any other company.

The most apparent difference from traditional insurance companies is that Lemonade does not use agents to sell its products.

Instead, you interact directly with the software.

You can get a quote online in just minutes, and if you choose to buy coverage, you will do so through the app or website without ever having any interaction with anyone.

Reporting a claim is also done through the app.

Many claims are processed immediately by the Lemonade software program.

Those that the software can process are assigned to a claims representative.

Lemonade Insurance: What is it Best for?

Lemonade is an excellent option for those looking for a home or renters’ insurance.

They offer replacement cost coverage for your belongings, which means if something is damaged or stolen, they will pay the cost to replace it.

Best forNot so great
Tech-savvy consumersOlder consumers
Fast claims processingThose wanting a local agent
Where Lemonade is Available?
ArizonaIowaOhio
ArkansasMarylandOklahoma
CaliforniaMassachusettsOregon
ColoradoMichiganPennsylvania
ConnecticutMissouriRhode Island
District of ColumbiaNevadaTennessee
GeorgiaNew JerseyTexas
IllinoisNew MexicoVirginia
IndianaNew YorkWisconsin

Lemonade Homeowners Insurance

Lemonade Homeowners Insurance Pros & Cons

Pros
  • Lemonade home insurance is affordable.
  • Lemonade has solid financial backing from Lloyds of London, one of the most significant insurance underwriters in the world.
  • Claims reporting is fast and easy.
  • All major lenders accept lemonade Insurance.
Cons
  • Lemonade home insurance is not available in all states.
  • Does not offer a companion policy discount.
How Does Lemonade Home Insurance Rates Compare to Other Companies?
CarrierAnnual Premium
Lemonade$1,058
State Farm$1,470
Allstate$1,525
Nationwide$1,682

What we compared: $300,000 home with $1,000 deductible located in Nashville, Tennessee.

What is Lemonade's Standard Home Insurance Coverage?

Dwelling and Separate Structures Coverage
Your DwellingSeparate Structures
Covers damage to the structure of your homeCovers damage to a separate structure, such as a shed or detached garage
Pays to reconstruct your homePays to reconstruct your separate structure

Dwelling and Separate Structure Claim Examples

  • Wind causes a tree to hit your home, causing damage.
  • Hurricane winds damage your siding, windows, and roof.
  • A frozen pipe bursts and causes damage to your walls, ceiling, and floors.
  • A grease fire in your kitchen causes extensive smoke and fire damage.
  • Gas leaking from your lawnmower stored in your shed ignites a fire, causing it to burn to the ground.

Lemonade Personal Property Coverage

  • Natural Disasters
  • Fire and lightning
  • Windstorm and hail
  • Volcano eruption
  • Damage from ice, snow, or sleet
  • Damage from freezing
  • Explosions
  • Riot
  • Planes
  • CarsSmoke damage
  • Damage from vandalism
  • Total or partial Theft
  • Accidental water discharge
  • Damage from sudden and accidental tearing, cracking, burning, or bulging
  • Damage from short-circuitingDamage from falling objects

Personal Property Claims Examples

  • Fire engulfs your home, destroying all your contents.
  • Someone steals your TV from your home.
  • Someone steals personal items from your car.
  • A lightning strike damages the internal components of your TV.

Portable Electronics

It covers damage to phones, tablets, laptops, and other portable electronics, including headphones.

Requires a separate stand-alone limit from the rest of personal property

Loss of Use

It covers the extra cost of having to live somewhere else while your home is rebuilt.

Examples of Loss of Use Coverage

  • Fire damages your home, and you must move into an apartment until repairs can be made. The cost of the apartment is covered under loss of use.
  • Fire damages your kitchen, preventing you from using your stove. As a result, you must order from a restaurant. The extra costs of eating out would be covered under loss of use.

Personal Liability

Pay for damages that you cause and are legally liable.

Personal Liabilities Coverage Examples

  • A visitor slips on your wet floor and fractures their hip.
  • Your next-door neighbor asks you to cut down a dead tree in your yard before it falls and damages his property. The following month the dead tree falls on your neighbor's brand new car.

Medical Payments to Others

Unlike the policy’s liability section, this section pays for medical costs associated with something that happened at your property that you may not be legally liable for.

For example, you have a party in your backyard, and a person trips over their long flowing dress, falls, and injures their knee.

You are not likely legally liable for them tripping over their dress, but the policy’s medical payments will pay for the bills up to the policy limit.

Additional Coverages:

Water Backup

It covers resulting damage if your sump pumps fail to function.

It covers the costs of removing sewage from inside your home due to a broken line or faulty equipment.

Swimming Pool Liability

Pays for damage or injury due to the ownership of a pool.

Extended Replacement Cost

Extended replacement cost is an included feature that pays up to 125% more than your coverage limit, if needed, to rebuild your home.

For example, say your dwelling coverage is $300,000, a tornado or fire destroys your home, and it takes $350,000 to rebuild your home because of increased lumber prices.

The policy will pay $350,000 because of the 125% extended replacement cost feature included in the policy.

Sinkhole

It covers damage to your home caused by sinkholes or undermining.

Appliance/Equipment Breakdowns

Covers damage from appliance or equipment breakdowns. For example, the motor in your clothes dryer stops working.

Buried Utilities

Covers damage to buried utilities such as water, gas, and sewer lines.

Lemonade Homeowners Insurance Discounts

  • Claims free: Offers a premium discount if you have been claim-free for the past five years.
  • Fire alarm: Offers a discount if you have a fire alarm.
  • Burglar alarm: Offers a discount if you have monitored burglar alarm.
  • New home: Offers a premium discount if your home is ten years old or newer.
How is Lemonade Homeowners Insurance Rated?
J.D. Power (out of 1,000)870
BBBB+
NAIC Complaint Index1.94

Lemonade Renters Insurance

Lemonade Renters Insurance Pros and Cons

Pros
  • Some of the lowest premiums in the industry
  • Quick and easy quoting and binding of coverage
  • Fast and easy claims reporting
  • Award-winning app
Cons
  • Lemonade renters’ insurance is not available in all states
  • Does not offer companion auto insurance for a discount
Lemonade Renters’ Insurance Quote Comparison
CarrierAnnual Premium
Lemonade$118
Liberty Mutual$201
Auto Owners$278
Farmers$325

We compared: the $20,000 contents limit with a $1,000 deductible in Kansas City, Missouri.

What is Lemonade's Standard Renters Insurance Coverage?

Your Personal Property

Like the personal property section of Lemonade, home insurance covers your contents, including clothes, furniture, electronics, and more.

Covered perils include:

  • Fire and lightning
  • Windstorm and hail
  • Explosions
  • Riot
  • Planes
  • Cars
  • Smoke damage
  • Damage from vandalism
  • Total or partial theft
  • Damage from falling objects
  • Damage from ice, snow, or sleet
  • Accidental water discharge
  • Damage from sudden and accidental tearing, cracking, burning, or bulging
  • Damage from freezing
  • Damage from short-circuiting
  • Volcano eruption

Personal Property Claims Examples

  • The tenant above you at an apartment complex causes a grease fire that results in smoke damage to your contents.
  • Someone steals your bike from your apartment.
  • Someone steals your golf clubs out of your car at the golf course.

Portable Electronics

It covers damage to phones, tablets, laptops, and other portable electronics, including headphones.

Requires a separate stand-alone limit from the rest of your personal property

Loss of Use

It covers the extra cost of living somewhere else while your home or apartment you rent is being rebuilt.

Loss of Use Coverage Example

A fire burns your rental home down, and you must move into an apartment until repairs can be made. The cost of the apartment is covered under loss of use. The initial costs of a hotel and having to eat out are also covered under loss of use.

Personal Liability

Pays for damages that you cause and are legally liable for.

Personal Liability Coverage Examples

  • A visitor trips on a rug in the bathroom and injures their elbow
  • You accidentally run into the side of a BMW with your bicycle, causing damage to the rear door.
  • At the golf course, you mishit your tee shot, and your golf ball breaks the dining room window of an expensive home next to the fairway

Medical Payments to Others

Just like the Lemonade home policy, this section pays for medical costs associated with something that happened at your property that you may not be legally liable for.

The policy will pay for medical expenses up to the policy limit.

Lemonade Renters Insurance Discounts
Discounts
Burglar alarmProvides a premium discount for having a burglar alarm
Fire alarmProvides a premium discount for having a fire alarm
Claims freeProvides premium savings when you are claim-free for five years
How is Lemonade Renters Insurance Rated?
J.D. Power (out of 1,000)853
BBBB+
NAIC Complaint Index1.94
Optional Lemonade Homeowners and Renters Coverages
Optional CoveragesNote: Higher limits are available for an additional premium.
JewelryThe primary coverage comes with a jewelry limit of $1,000.
BikesThe primary coverage comes with a bicycle limit of $1,000.
Fine ArtsThe primary coverage comes with a fine arts limit of $5,000.
Cameras & Musical InstrumentsThe primary coverage comes with a limit of $1,000 for cameras and musical instruments.

Home and Renters Insurance Buying Guide

Determine How Much Coverage You Need

Don’t overbuy: Your goal is to find a happy medium with enough coverage but can still pay your premium each month.

Figure out what deductible works best for you: The lower the deductible, the higher the premium.

Look for discounts and ways to save

Take Inventory

Write down the current value and replacement value of everything you own.

Make a list and take pictures.

It always helps to have an image of what something was like before it got damaged if there’s any question about how much your belongings were worth when they were new.

Make a Fair Comparison

Don’t just look for the lowest premium.

Make sure you are getting quotes with the same coverage.

Check Consumer Complaints

Check with your state’s Department of Insurance for complaints on file for the carriers you are considering.

Check insurance rating bureaus to see how a specific carrier ranks.

Check online reviews of the carriers you are considering.

If a carrier is not rated well, consider going with a page with better ratings.

Frequently Asked Questions

What does loss of use cover on renters insurance?

It covers the extra cost of living somewhere else while your home or apartment you rent is being rebuilt.

What does personal liability cover on renters insurance?

It covers damages that you cause and are legally liable for.

What are examples of personal liability claims?

Examples include: A visitor trips on a rug in the bathroom and injures their elbow, you accidentally run into the side of a BMW with your bicycle, causing damage to the rear door. At the golf course, you mishit your tee shot, and your golf ball breaks the dining room window of an expensive home next to the fairway.

How do you determine how much coverage you need?

Don’t overbuy: Your goal is to find a happy medium with enough coverage but can still pay your premium each month.