Technology driven carrier Lemonade has renewed its reinsurance programme, with a Bermuda cell again being utilised to retain the majority of the company’s windstorm exposure.
Lemonade established its cell in Bermuda in June 2023 in order to retain this windstorm exposure.
At the same time, the company also formed Lemonade Re in the Cayman Islands, where some of its retained risk is being held.
Lemonade is a B Corp that offers renters, homeowners, car, pet, and life insurance and is powered by AI and social impact.
The new programme is led by the same carriers as the expiring treaty, which the company said was oversubscribed on all dimensions.
The core of the programme is 55% quota share protection, which is the same level as in recent years.
The variable ceding commissions are projected to be roughly equivalent or better than outgoing agreements, with the programme covering all Lemonade businesses globally.
“Partnering once again with the world’s largest and most respected reinsurers who have chosen to stake their capital on the performance of our business is a big deal for Lemonade,” said Daniel Schreiber, Lemonade CEO and co-founder.
“Our programme renews this year on yet better terms than last year and was once again oversubscribed.
“This programme allows us to continue to accelerate our growth in a very capital light mode.”