SoftBank-backed Lemonade files $100m IPO

Lemonade, one of the original so-called insurtech companies, has filed to complete an initial public offering (IPO) that could raise $100 million.

The startup backed by SoftBank and several other VC investors sells renters and homeowners insurance in the US, and contents and liability insurance in Germany and the Netherlands, through its full-stack insurance carriers.

It uses technology including artificial intelligence and behavioural economics to make the process quicker and cheaper for customers while giving excess premiums to non-profits selected by its community.

SoftBank led a $300 million funding round in Lemonade last year, valuing the company at approximately $2.1 billion.

Lemonade generated $26 million in revenue for the three months ending March 31, compared with $11 million for the same period last year. But it remains loss making posting a net loss of $36.5 million during the quarter, compared with $21.6 million last year.