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Show HN: Lemonade – the world's first P2P insurance company

lemonade.com

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Re: Show HN: Lemonade – the world's first P2P insurance company

#161

Post by [deleted] »

ojgeojaga wrote: post #85
samfisher83 wrote: post #24

It looks like these are the companies that are really insuring you: Lloyd’s of London, Berkshire Hathaway’s National Indemnity, XL Catlin etc. Basically they are buying a policy from one of those companies adding 20% and selling it to you. A insurance company works by spreading risk over a large area. By selling everything in NY they are increasing their correlation which raises risk. One of the reasons for the sub p…

Their street address is the Goldman Sachs building. And Geico's overhead is closer to 15%. So... do what you want with that info.

[deleted]

Re: Show HN: Lemonade – the world's first P2P insurance company

#162

Post by [deleted] »

ojgeojaga wrote: post #85
samfisher83 wrote: post #24

It looks like these are the companies that are really insuring you: Lloyd’s of London, Berkshire Hathaway’s National Indemnity, XL Catlin etc. Basically they are buying a policy from one of those companies adding 20% and selling it to you. A insurance company works by spreading risk over a large area. By selling everything in NY they are increasing their correlation which raises risk. One of the reasons for the sub p…

Their street address is the Goldman Sachs building. And Geico's overhead is closer to 15%. So... do what you want with that info.

[deleted]

Re: Show HN: Lemonade – the world's first P2P insurance company

#163

Post by SmellTheGlove »

maya_lemonade wrote: post #148
gruez wrote: post #17

>A transparent 20% fee to run everything how does that compare with the profit margins of a traditional insurance company?

Hey Gruez, Regular insurance companies have an expense ratio of 40%.

In P&C it's closer to 28%, and for most of them that means agency commissions and such. That said, I think 20% expense is a bit wishful for a startup, but I hope I'm wrong and that it works out for you.

I will just assume that your 20% doesn't include LAE unless you're writing super preferred risk.

Re: Show HN: Lemonade – the world's first P2P insurance company

#164

Post by gilsadis »

SmellTheGlove wrote: post #158
joosters wrote: post #122

Can an insurance company really claim, as Lemonade does, that: the Service Is Available “As Is.” YOU EXPRESSLY UNDERSTAND AND AGREE THAT: (a) YOUR USE OF THE SERVICE AND THE PURCHASE AND USE OF ANY PRODUCTS OR SERVICES ARE ALL AT YOUR SOLE RISK. THE SERVICE IS PROVIDED AND PRODUCTS ARE SOLD ON AN “AS IS” AND “AS AVAILABLE” BASIS. TO THE MAXIMUM EXTENT PERMITTED BY LAW, LEMONADE EXPRESSLY DISCLAIMS ALL WARRANTIES AND…

That might be a cut and paste TOS, with a little CTRL-H for flavor. Otherwise, that TOS hopefully is intended to apply to the website only. If anyone has gotten far enough with them, I'd love to see their actual insurance contract. I'm too lazy to go pull their state filings. EDIT: Here's the part that troubles me more - "GIVEBACK ... our stated intention is to calculate the amount of leftover money by subtracting fr…

SmellTheGlove you're right. What joosters pasted is our website's TOS... You can definitely build a profitable insurance business with a 20% expense ratio. Our expenses are much lower than traditional insurers, plus we're not planning on buying any private jets :). We're here for turning insurance into a social good, as it was 400 years ago. Thanks for your support!

Re: Show HN: Lemonade – the world's first P2P insurance company

#165

Post by sharkmerry »

maya_lemonade wrote: post #157
sharkmerry wrote: post #44

Earlier quoted context omitted.

Perhaps I should've worded my question better to avoid your snark. >> This is why we can give unclaimed money back to charity. Why is charity going to prevent fraudulent claims better than money going directly back to the consumer?

Hey, this is Maya from Lemonade, we believe people are inherently good and when faced with the option of embellishing their claim and pocketing more money or claiming what they deserve and make sure their cause receives the extra money left- most people (we hope) will choose the latter.

Maya,

You did not answer my inquiry.

Why is giving extra money to charity MORE of a deterrent to fraudulent claims than giving extra money back to the consumer?

Re: Show HN: Lemonade – the world's first P2P insurance company

#167

Post by walrus01 »

sfrailsdev wrote: post #108
bigiain wrote: post #103

Earlier quoted context omitted.

Yeah - aren't a good 20% of Silicon Valley startups just Unix commands reinvented (badly) as websites? I'll by a beer for the first person to get to Unicorn status with an actual shell buitin (as opposed to all the SaaS companies that are just repackaged standard Linux/Unix distribution packages). (Rushes off to register echo.io, pwd.io and logout.io...)

I'm off to found Ellis (ls), the company that displays current directory information, file creation information, and file ownership in an easy to use dashboard, but with websockets, Golang and React. Quick somebody give me a super new log structured merge tree db to use to store Ellis data.

https://devnull-as-a-service.com/

Re: Show HN: Lemonade – the world's first P2P insurance company

#168

Post by insurance_gal »

SmellTheGlove wrote: post #158
joosters wrote: post #122

Can an insurance company really claim, as Lemonade does, that: the Service Is Available “As Is.” YOU EXPRESSLY UNDERSTAND AND AGREE THAT: (a) YOUR USE OF THE SERVICE AND THE PURCHASE AND USE OF ANY PRODUCTS OR SERVICES ARE ALL AT YOUR SOLE RISK. THE SERVICE IS PROVIDED AND PRODUCTS ARE SOLD ON AN “AS IS” AND “AS AVAILABLE” BASIS. TO THE MAXIMUM EXTENT PERMITTED BY LAW, LEMONADE EXPRESSLY DISCLAIMS ALL WARRANTIES AND…

That might be a cut and paste TOS, with a little CTRL-H for flavor. Otherwise, that TOS hopefully is intended to apply to the website only. If anyone has gotten far enough with them, I'd love to see their actual insurance contract. I'm too lazy to go pull their state filings. EDIT: Here's the part that troubles me more - "GIVEBACK ... our stated intention is to calculate the amount of leftover money by subtracting fr…

https://news.ycombinator.com/item?id=12557754

50% Loss ratio

Re: Show HN: Lemonade – the world's first P2P insurance company

#169

Post by joosters »

gilsadis wrote: post #164
SmellTheGlove wrote: post #158

Earlier quoted context omitted.

That might be a cut and paste TOS, with a little CTRL-H for flavor. Otherwise, that TOS hopefully is intended to apply to the website only. If anyone has gotten far enough with them, I'd love to see their actual insurance contract. I'm too lazy to go pull their state filings. EDIT: Here's the part that troubles me more - "GIVEBACK ... our stated intention is to calculate the amount of leftover money by subtracting fr…

SmellTheGlove you're right. What joosters pasted is our website's TOS... You can definitely build a profitable insurance business with a 20% expense ratio. Our expenses are much lower than traditional insurers, plus we're not planning on buying any private jets :). We're here for turning insurance into a social good, as it was 400 years ago. Thanks for your support!

Sure, it's from the website, but the language makes it clear that it covers everything - the "...SERVICE AND THE PURCHASE AND USE OF ANY PRODUCTS OR SERVICES" part. If you care for clarity, put an actual terms of service up that matches with your company behaviour.

Re: Show HN: Lemonade – the world's first P2P insurance company

#170

Post by SmellTheGlove »

insurance_gal wrote: post #168
SmellTheGlove wrote: post #158

Earlier quoted context omitted.

That might be a cut and paste TOS, with a little CTRL-H for flavor. Otherwise, that TOS hopefully is intended to apply to the website only. If anyone has gotten far enough with them, I'd love to see their actual insurance contract. I'm too lazy to go pull their state filings. EDIT: Here's the part that troubles me more - "GIVEBACK ... our stated intention is to calculate the amount of leftover money by subtracting fr…

https://news.ycombinator.com/item?id=12557754 50% Loss ratio

I was talking about expense ratio, not loss ratio. Thought that was pretty clear in my post, but too late for me to edit.

Also if expected losses really are 50%, are we really talking about a projected 70% combined ratio? Forgive my skepticism, but that's really hard to pull off, and there's going to be regulatory pressure to take rate if that happens with any consistency.

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