InsurTech startups Root, Slice and Lemonade each announced they’ve expanded their operations into new states.
Root, an auto insurance startup, said it can now do business in Arizona after debuting in late October 2016 in its home state of Ohio. Root uses telematics and a customer’s smartphone to write what it claims will be significantly cheaper rates for the best drivers, based on their current driving data.
Drivers in Arizona can now download the company’s iOS or Android app and then take a test drive to determine a personalized rate. Root said its expansion to Arizona will boost its potential reach by 60 percent. The startup is pursuing expansion into Oregon, Montana, North Dakota, Nebraska, Illinois, Indiana, Oklahoma and Louisiana next, according to its website.
New York-based Slice Labs, meanwhile, announced it has gained California regulatory approval to sell its commercial lines insurance product for homesharing hosts in the state.
Slice, which offers on-demand, short-term insurance coverage, said the product is specifically designed for homeshare hosts who participate in platforms such as AirBnb, HomeAway, OneFineStay and FlipKey. Customers can purchase the commercial insurance policy via app or online, and it covers the time period hosts rent their homes, whether it is for a day, week or other time frame.
Since launching last fall in Iowa, Slice expanded in March on a limited basis to five additional states: Colorado, Maryland, Massachusetts, Texas and Washington. It has also created a pay-per-use rideshare insurance app and is testing the technology with a select set of rideshare drivers.
Lemonade, a New York-based peer-to-peer insurance startup focused on renters and homeowners insurance, announced that it can start selling its products in California, through its website or app. The company uses software known as bots to enable both systems. Lemonade takes a flat fee for insurance and gives any unclaimed money to causes policyholders care about.
In April, Lemonade announced it was licensed as a full-stack insurance carrier in Illinois. The startup gained its first insurance carrier license in New York in mid-2016 and is pursuing eventual license to operate in 47 states and the District of Columbia.
Source: Root, Slice, Lemonade