Lemonade got some great press this week with their instant claims payment for a small property loss on a renters policy.
While Lemonade is spinning this a miracle of AI, it’s really more a miracle of intelligently-designed processes. Many insurers do rules-based, auto-adjudication for small property losses, but few have the ability to translate those automated decisions into real time payments.
The other thing that Lemonade has done successfully here is focus on the desired customer experience, and exploit the industry’s lack of willingness to do so.
Now if Lemonade can do the same thing with a $25,000 liability claim on a small renters policy, that’s a different story…