Artificial intelligence (AI)-powered insurance company Lemonade has officially divested online insurance platform and pay-per-mile vehicle insurer Metromile’s Enterprise Business Solutions (EBS) to digital insurance platform EIS, according to a press release Monday (Aug. 1).
EBS was Metromile’s Software-as-a-Service (SaaS) claims automation and fraud detection platform, which was licensed to large insurance carriers, per the release.
The all-cash transaction was completed after Lemonade acquired Metromile last week. Terms of the deal were not disclosed, and Keefe, Bruyette & Woods acted as financial advisor in connection to the transaction.
See also: Insurtech Firm Lemonade Acquires Metromile, Pet Business ‘Outperforms Expectations’ in Q3
Lemonade announced Metromile as its first-ever acquisition in November, pinning its hope on Metromile’s proprietary data and algorithms, which “can vault us over the most time- and cost-intensive parts of the journey,” Lemonade’s CEO and co-founder Daniel Schreiber said in the company’s third-quarter earnings report.
Outside of the U.S., Lemonade has made Europe its launchpad for international expansion. It debuted in Germany in 2019, and launched in the Netherlands — where it has its European headquarters — and France last year.
Initially launched in 2016 in New York, the mobile insurance firm said it works to digitize the insurance process, replacing brokers and bureaucracy with bots and machine learning algorithms that can provide homeowners’ and renters’ insurance policies in a matter of minutes.
Lemonade also rolled out its preventative care offerings for puppies and kittens in September 2021, offering coverage for various procedures, including spaying and neutering, microchipping, flea medication, vaccines and boosters.
Related: Insurtech Lemonade Expands Pet Coverage to Massachusetts
In February, Lemonade expanded its pet insurance offering to customers in Massachusetts, marking the 37th state where the InsurTech covers dogs and cats.
This includes personalized coverage, which let pet owner create an insurance package that goes beyond the base Lemonade policy, and the company said customers also get access to its app, providing an easier digital experience when dealing with claims and quotes.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More