By Sam Boughedda
Investing.com — Insure-tech firm Lemonade Inc (NYSE:LMND) announced Wednesday that it is to offer car insurance through its newest product, Lemonade Car.
Lemonade shares have rallied following the news, up over 7% at $73.28 at the time of writing.
The company said Lemonade Car is currently available in Illinois, but will be rolled out across the U.S.
"Lemonade Car is designed to offer better prices for safe and low-mileage drivers, as well as environment-friendly EVs and hybrid cars," they said.
The company's app will use telematics to measure applicants' risk, analyzing how safe and how much they drive while also providing 24/7 roadside assistance, real-time crash detection, and dispatch of emergency services.
In addition, Lemonade also said it would honor its longstanding commitment to never invest in fossil fuels and polluting industries, as well as to incorporate incentives to reduce CO2 emissions. It will offer better prices for safe and low-mileage drivers and environment-friendly EVs and hybrid cars.
“We wanted to introduce a product that will not only reinvent how people buy car insurance, manage their policy, and file claims, but also do something good for the planet. Since we can’t stop using cars just yet, we will help compensate for the CO2 emitted from our customers’ cars by financing reforestation on an ongoing basis.” added Wininger.