Major Rating Factors:
Poor long-term capitalization index (2.1 on a scale of 0 to 10) based on weak current risk adjusted capital (severe loss scenarios). Weak profitability index (2.0) with operating losses during each of the last five years. Fair reserve development (4.6) as reserves have generally been sufficient to cover claims.
Other Rating Factors:
Good liquidity (6.7) with sufficient resources (cash flows and marketable investments) to handle a spike in claims. Good overall results on stability tests (5.9) despite weak risk adjusted capital in prior years and negative cash flow from operations for 2024. Stability strengths include good operational trends and excellent risk diversification.
Stability Factors:
C - Past results on our Risk-Adjusted Capital tests.
D - Limited diversification of general business, policy, and/or investment risk.
F - Negative cash flow.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Personal/comm auto (80.7%), homeowners (9.3%), other (9.9%)
Licensed in:
All states except MI, TN
Principal Investments:
Investment grade bonds (83.2%), cash (14.4%), other (2.4%)
Corporate Info
Group Affiliation
Lemonade Inc
Investment Rating
Company Address
5 Crosby Street
New York, NY 10013
New York, NY 10013
Phone Number
(322) 208-8911
NAIC Number
16187
Website
Largest Affiliates