Lemonade, a tech-driven insurance company, has reported significant growth in its financial performance for the year ended December 31, 2023. The company's total revenue surged by 67% to $429.8 million, with net earned premium increasing by 83% to $315.2 million. This growth is attributed to an increase in gross written premium by 33% to $738.4 million, driven by a 12% increase in net added customers and a 7% rise in premiums per customer. The acquisition of Metromile, a digital insurance platform, has also contributed to Lemonade's expansion. Despite the revenue growth, Lemonade reported a net loss of $236.9 million, which is a 20% improvement from the previous year's net loss of $297.8 million. The company's business development has been robust, with the integration of Metromile and the launch...Show More

Lemonade, a tech-driven insurance company, has reported significant growth in its financial performance for the year ended December 31, 2023. The company's total revenue surged by 67% to $429.8 million, with net earned premium increasing by 83% to $315.2 million. This growth is attributed to an increase in gross written premium by 33% to $738.4 million, driven by a 12% increase in net added customers and a 7% rise in premiums per customer. The acquisition of Metromile, a digital insurance platform, has also contributed to Lemonade's expansion. Despite the revenue growth, Lemonade reported a net loss of $236.9 million, which is a 20% improvement from the previous year's net loss of $297.8 million. The company's business development has been robust, with the integration of Metromile and the launch of new insurance products. Lemonade's future plans include continued investment in sales and marketing growth efforts, supported by a financing agreement with GC Customer Value Arranger, LLC, providing up to $150 million of financing. The company also entered into an Amended Agreement for an additional $140 million of financing for sales and marketing efforts through December 31, 2025. Lemonade's reinsurance strategy has been adjusted, with a decrease in the share of proportional reinsurance from 75% to 55%, and the implementation of a new reinsurance program to protect against natural catastrophe risk in the U.S. The company's customer base has grown to 2,026,918, with an in-force premium of $747.3 million and an annual dollar retention rate of 87%. Lemonade's adjusted EBITDA for the year was a loss of $172.6 million, a 23% improvement from the previous year.