NEW YORK--(BUSINESS WIRE)--Jan 21, 2026--
Lemonade (NYSE: LMND), the digital insurance company powered by AI and social impact, today announced the launch of Lemonade Autonomous Car insurance, a first-of-its-kind product designed specifically for self-driving cars, starting with Tesla FSD.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260121169700/en/
The new offering cuts per-mile rates for FSD-engaged driving by approximately 50%, reflecting what the data shows to be significantly reduced risk during autonomous operation. Lemonade expects further reductions as Tesla releases FSD software updates, which are anticipated to make the cars even safer over time.
The launch is the result of a technical collaboration with Tesla, giving Lemonade access to vehicle data that was previously unavailable. Data captured then feeds into Lemonade’s usage-based risk prediction models, already among the most advanced in the industry, to uniquely distinguish between autonomous and human driving, as well as predict risk based on the autonomous software version installed in the car, the precision of its sensors, and more.
“Traditional insurers treat a Tesla like any other car, and AI like any other driver,” said Shai Wininger, co-founder and president at Lemonade. “But a car that sees 360 degrees, never gets drowsy, and reacts in milliseconds can’t be compared to a human.”
“Our existing pay-per-mile product has given us something no traditional insurer has: a unique tech stack designed to collect massive amounts of real driving data for precise, dynamic pricing. Lemonade Autonomous Car was built on that foundation,” Wininger said.
Lemonade supports intermittent use of FSD, as well as households with a mix of Teslas and standard non-FSD vehicles from other manufacturers, all under one policy. Customers can also unlock additional discounts for safe driving behavior, as well as savings for bundling with Lemonade’s Homeowners, Renters, and Pet insurance.
Lemonade’s approach reflects its broader strategy of using AI to gain operational efficiency and pricing accuracy, passing savings directly to customers. The company has stated its ambition to become the lowest-cost, best-experience insurance in the world, and Lemonade Autonomous Car insurance is another step toward that goal.
"Teslas driven with FSD are involved in far fewer accidents," Wininger added. "By connecting to the Tesla onboard computer, our models are able to ingest incredibly nuanced sensor data that lets us price our insurance with higher precision than ever before.”
“Beyond the product announcement today, we're also announcing our commitment to the Tesla community - the safer FSD software becomes, the more our prices will drop," Wininger said.
The product will begin rolling out in Arizona on January 26 and in Oregon a month later.
Tesla owners will be able to get a quote for the new product in seconds, through the Lemonade app, or online at tesla.lemonade.com/fsd.
Lemonade continues to offer its existing Car insurance, which supports most popular cars as well as Teslas, in Arizona, California, Colorado, Illinois, Indiana, Ohio, Oregon, Tennessee, Texas, and Washington.
About Lemonade
Lemonade delivers AI-powered renters, pet, car, homeowners, and life insurance across the US and EU. We process claims instantly, keep costs low, and donate unused premiums to causes selected by our community, as part of the annual Giveback program.
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This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact contained in this press release are forward-looking statements, including the date and time of the earnings call.
These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements expressed or implied to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to the following: our financial outlook for the fourth quarter and full year 2025, our financial outlook and results into 2026, our financial metrics, including our key performance indicators, our ability to acquire new business, including growth of products in new states and Europe, the expected benefits, accuracy and growth of our predictive and generative AI models, and their effects on handling loss ratios, LAE and other metrics, our anticipated growth, profitability, our industry, business strategy, plans, goals and expectations concerning our market position, future operations, reinsurance coverage, capital efficiency ratio, and other financial and operating information, our history of losses and that we may not achieve or maintain profitability in the future; our success and ability to retain and expand our customer base; the "Lemonade" brand may not become as widely known as incumbents' brands or the brand may become tarnished; the denial of claims or our failure to accurately and timely pay claims; our ability to attain greater value from each user; availability of reinsurance at current levels and prices; our exposure to counterparty risks; our limited operating history; our ability to manage our growth effectively; our proprietary artificial intelligence algorithms may not operate properly or as expected; the intense competition in the segments of the insurance industry in which we operate; our ability to maintain our risk-based capital at the required levels; our ability to expand our product offerings; the novelty of our business model and its unpredictable efficacy and susceptibility to unintended consequences; the possibility that we could be forced to modify or eliminate our Giveback; regulatory risks, related to the operation, development, and implementation of our proprietary artificial intelligence algorithms and telematics based pricing model; legislation or legal requirements that may affect how we communicate with customers; the cyclical nature of the insurance industry; our reliance on artificial intelligence, telematics, mobile technology, and our digital platforms to collect data that we utilize in our business; our ability to obtain additional capital to the extent required to grow our business, which may not be available on terms acceptable to us or at all; our actual or perceived failure to protect customer information and other data as a result of security incidents or real or perceived errors, failures or bugs in our systems, website or app, respect customers’ privacy, or comply with data privacy and security laws and regulations; periodic examinations by state insurance regulators; underwriting risks accurately and charging competitive yet profitable rates to customers; our ability to underwrite risks accurately and charge competitive yet profitable rates to our customers; potentially significant expenses incurred in connection with any new products before generating revenue from such products; risks associated with any costs incurred and other risks as we expand our business in the U.S. and internationally; our ability to comply with extensive insurance industry regulations; our ability to comply with insurance regulators and additional reporting requirements on insurance holding companies; our ability to predict the impacts of severe weather events and catastrophes, including the effects of climate change and global pandemics, on our business and the global economy generally; increasing scrutiny, actions, and changing expectations on environmental, social, and governance matters; our agreement with General Catalyst as a synthetic agent may not function as expected; fluctuations of our results of operations on a quarterly and annual basis; our utilization of customer and third party data in underwriting our policies; limitations in the analytical models used to assess and predict our exposure to catastrophe losses; potential losses could be greater than our loss and loss adjustment expense reserves; the minimum capital and surplus requirements our insurance subsidiaries are required to have; assessments and other surcharges from state guaranty funds; our status and obligations as a public benefit corporation; our operations in Israel and the current political, economic, and military instability, including the evolving conflict in Israel and surrounding region.
These and other important factors described under the caption "Risk Factors" in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 filed on February 26, 2025, and in our other subsequent filings with the SEC, could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management’s beliefs as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change.
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Lemonade Autonomous Car Insurance
DAVOS, Switzerland (AP) — U.S. President Donald Trump will appear Wednesday with other high-profile government and business leaders at the World Economic Forum in Davos, Switzerland, a day after the elite event produced contentious statements and economic threats arising from tensions between the U.S. and Europe.
Nearly 3,000 high-level participants from 130 countries, plus an untold number of activists and observers, are expected to converge on the annual event scheduled to last through Friday for dialogue, debate and deal-making in the Alpine resort.
Trump’s third visit as president comes as U.S. allies worry about his ambition to take over Greenland, while Latin America grapples with his efforts to seize Venezuela’s oil.
European Commission President Ursula von der Leyen on Tuesday called Trump’s planned new tariffs on eight of its countries over Greenland a “mistake” and questioned Trump’s trustworthiness. French President Emmanuel Macron said the EU could retaliate by deploying one of its most powerful economic tools, known colloquially as a trade “bazooka.”
Here is the latest:
The president echoed criticisms he had made of Europe in his United Nations address last year and his administration’s latest national security statements.
“I love Europe and I want to see Europe go good, but it’s not heading in the right direction,” he said.
The president opened his remarks by saying it was “great to be back in beautiful Davos Switzerland and to address so many respected business leaders, so many friends, a few enemies.”
His last line drew laughs.
Trump’s speech at Davos will coincide with arguments at the U.S. Supreme Court in Washington over the American president’s effort to oust Federal Reserve governor Lisa Cook.
It’s a politically charged case with the independence of the nation’s central bank at stake.
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Follow live updates of the hearing here.
It’s standing room only inside Congress Hall as Davos awaits Trump’s highly anticipated speech.
Attendees can use headsets to listen to the speech in six languages besides English.
The president’s motorcade arrived at the World Economic Forum event venue after a short drive along a road lined with people and skiers.
A few of the bystanders offered less than a welcoming greeting by extending their middle fingers.
At least one person held a piece of paper with an expletive.
Davos officials invited some attendees to watch Trump’s speech on screens inside an overflow room instead of Congress Hall, but it barely seemed to lessen the crowd.
Hundreds of people, including several tech titans, sought a coveted seat inside the hall.
The press, including the White House pool, is consigned to the back of the venue.
JPMorgan’s Jamie Dimon said the United States is now “less reliable” as a global geopolitical and economic partner under Trump.
Still, the Wall Street titan was noticeably reluctant to more forcefully criticize Trump as a person or his administration, prompting pushback during an interview at Davos with Zanny Minton Beddoes, editor-in-chief of The Economist.
“I am struck, I’m genuinely struck by the unwillingness of CEOs in America to say anything critical,” said Beddoes. “There is a climate of fear in your country. Would you agree with that? And what should be done about it?”
Dimon demurred on that question as well.
“What the hell else do you want me to say?” Dimon said, noting he’s generally pushed back on Trump’s tariff and immigration policies.
The president’s helicopter touched down after a roughly 40-minute flight to the ski-resort town in the Alps.
As it descended, the convoy of presidential helicopters passed a message written into the snow on a nearby hillside that read: “Stop wars now.”
British Prime Minister Keir Starmer also said U.S. President Donald Trump’s criticism on Tuesday of the U.K.’s decision to hand sovereignty of the Chagos Islands to Mauritius was intended to pressure the British leader to change his stance on Greenland.
Previously, Trump had voiced support for the deal as a way to ensure the security of the American base on Diego Garcia, the largest island of the archipelago in the Indian Ocean.
Starmer is set to meet Danish Prime Minister Mette Frederiksen in London on Thursday.
The UK is among the eight countries threatened by Trump’s tariffs over their backing of Greenland.
Jamey Keaten, AP’s chief Switzerland correspondent, is among hundreds inside Congress Hall, waiting for Trump’s speech at the forum.
The hall’s capacity is roughly 1,000 people.
The president made a brief comment to reporters after he disembarked from Air Force One, but his words could not be heard over the noise of the aircraft.
He then waved a hand at reporters and boarded his presidential helicopter.
Dozens of people began lining up Wednesday for Trump’s highly anticipated speech at Davos.
The line built to roughly a hundred attendees seeking a seat shortly before noon inside the Congress Hall, even as Trump’s plane had only just landed in Zurich. The queue is expected to grow.
The official, who spoke on condition of anonymity to describe internal plans not yet made public, said about 50 countries had been invited to join the organization.
The official did not detail which countries were joining.
A White House official who spoke on condition of anonymity to preview the president’s plans said that Trump will also speak about his plans to have the U.S. dominate the Western Hemisphere and may also speak about his push to acquire Greenland and what’s next for Venezuela after the U.S. captured its former leader, Nicolás Maduro.
The president is scheduled to have about five separate meetings with individual foreign leaders while he’s on the trip, according to the official. The names of the leaders were not shared.
The U.S. secretary of state joked with reporters as he picked up a coffee toward the end of the flight and said he tried to get some rest at a conference table aboard the aircraft.
Marco Rubio joked that the accommodations were still nicer than the plane he travels on for State Department business.
Air Force One touched down in Zurich a little after 12:30 p.m. local time, nearly two hours after he was originally scheduled to arrive.
The president’s trip to Davos got off to a hiccup when a minor electrical issue aboard Air Force One led the crew to turn his plane around 30 minutes into the flight out of an abundance of caution. Trump changed planes in Washington.
The president instead flew on one of the other planes used as Air Force One, an aircraft that’s typically used for domestic trips to smaller airports.
Nvidia CEO Jensen Huang made his Davos debut, holding forth on the artificial intelligence boom that’s underpinned by his company’s advanced chips.
Sporting his signature black leather jacket, Huang told an audience that Europe should integrate AI with its strong industrial base to keep up with the global tech race dominated by the United States.
“This is your opportunity to now leap past the era of software. United States really led the era of software,” Huang said.
“Get in early now so that you can now fuse your industrial capability, your manufacturing capability with artificial intelligence,” he said, adding that physical AI in the form of robotics “is a once in a generation opportunity for the European nations.”
U.S. special envoy Steve Witkoff says he plans to meet with Russian President Vladimir Putin and the Ukrainian delegation.
“I’m hopeful,” Witkoff told The Associated Press about his expectations for the Putin meeting. “I’m hopeful that all meetings will go well on that subject. We need a peace.”
Trump boasted while campaigning for reelection in 2024 that he could settle Russia’s war in Ukraine in one day. Those efforts have so far proved futile, despite Trump, Witkoff and other top administration officials saying they were optimistic a peace deal could be achieved soon.
The halls of the Davos Congress Center rumbled with eager anticipation for Trump’s upcoming speech.
While many leaders and officials kept their opinions to themselves before the address, Czech Prime Minister Andrej Babis alluded to tensions between European countries and the U.S. over Greenland.
“Of course we are looking forward for the speech,” he said. “So, I hope we will find a nice solution among allies.”
Babis chuckled recalling his conversation with Finnish President Alexander Stubb, a Trump golfing buddy who is reputed to be one of his closest friends in Europe: The Finnish leader had “publicly invited Donald Trump to sauna, to relax and to speak between allies.”
Glad-handing and hugs abounded among old friends, political leaders, academics and activists. Personalities like former U.S. Vice President Al Gore, now a prominent environmental defender, also crisscrossed the maze of Davos hallways with the likes of President Karol Nawrocki of Poland and Israeli President Isaac Herzog.
Rutte, whose NATO alliance has been rattled by Trump’s threats over Greenland, waved to and hugged old acquaintances, but didn’t say whether he hoped to meet Trump.
Trade representatives from the U.S. and the European Union met on the sidelines of Davos.
Maroš Šefčovič, the EU trade representative, wrote on social media that he met with his U.S. counterpart, Jamieson Greer, in “our shared interest to avoid a downward spiral in trade, ensuring predictability for transatlantic business and investment.”
“The EU favours dialogue and solutions, in mutual respect,” Šefčovič wrote.
European Council President António Costa says Trump’s threats to annex Greenland and impose tariffs challenge Europe’s security and principles.
Costa will convene an emergency summit in Brussels with EU leaders Thursday.
Trump’s desire to acquire Greenland for what he says are security reasons has strained trust with European allies.
Costa, speaking at the EU parliament in France, emphasized that only Denmark and Greenland can decide their future. He said EU leaders are united in defending international law and are prepared to counter any coercion, and are rethinking relations with the U.S., a long-time ally.
NATO Secretary-General Mark Rutte warned on Wednesday that the allies might be losing sight of real security challenges posed by Russia in Ukraine as they argue over the future of Greenland.
Rutte said at Davos that he is “a little bit worried that we might drop the ball focusing so much on these other issues.”
Ukraine’s armed forces “need our support now, tomorrow and the day after,” notably with air defense systems and U.S. military equipment that might no longer be “available in Europe for them to defend themselves” if the Greenland dispute escalates, he said.
Rutte insisted “this focus on Ukraine should be our number one priority and then we can discuss all the issues, including Greenland. But it should be Ukraine first.”
Celebrities abound during winter in the Swiss Alps and the elite economic summit in Davos has not broken from that trend, from pop star Katy Perry watching a speech by her beau, former Canadian Prime Minister Justin Trudeau, to musician Jon Batiste on stage at the event’s opening concert.
Actor Matt Damon and musician Will.I.Am also were spotted.
Former soccer star David Beckham was in attendance in the wake of his son Brooklyn Beckham publicly acknowledging a feud with his family on social media. As he left a podcast recording Tuesday in Davos, David Beckham did not respond when asked whether he had a message for his son following the posts.
Egypt says it has accepted Trump’s invitation to join his Board of Peace and support the panel’s task in accordance with the U.N. Security Council mandate.
Prime Minister Benjamin Netanyahu of Israel also said he has agreed to join the board after his office earlier criticized the makeup of the executive committee.
The Egyptian statement came as el-Sissi is in Davos, where he is scheduled to meet with Trump. The Board of Peace is expected to be widely discussed at Davos.
Swedish Prime Minister Ulf Kristersson said his country does not regret joining NATO in 2024 despite the current upheaval.
“Absolutely not,” he said Tuesday in response to a journalist’s question on the Davos sidelines.
“We are in very good cooperation with 31 allies within NATO and we are doing great progress and we are being integrated very rapidly and we are already making big efforts also to increase NATO’s combined capacities in our part of the world,” Kristersson said.
Danish veterans feel betrayed as the U.S. escalates threats to seize Greenland, a territory of Denmark.
The Associated Press spoke to two veterans who fought alongside U.S. forces in Afghanistan and Iraq.
The veterans said they understand Arctic security concerns but believe Denmark is committed to defending the region within NATO. They fear the Trump administration’s actions could end the alliance and damage their admiration for the U.S.
There were 44 Danish soldiers killed in Afghanistan, the highest per capita death toll among coalition forces. Eight more died in Iraq.
Egyptian President Abdel-Fattah el-Sissi applauded the Lebanese government’s efforts to stabilize the tiny Mediterranean country, an apparent reference to its efforts to disarm non-state groups, notably Hezbollah.
Speaking in a panel Tuesday in Davos, the Egyptian leader said Lebanon “finds find a way to achieve complete stability.”
El-Sissi also spoke about the latest development in Syria and called for the inclusion of all Syrian groups in the political process.
Swedish Prime Minister Ulf Kristersson said he “would not speculate” on whether the NATO alliance has shattered beyond repair in the wake of Trump’s threats to take over Greenland.
Sweden joined NATO in 2024.
Kristersson, speaking to the Associated Press on the sidelines of Davos, said Europeans are willing to beef up security in Greenland and across the Arctic but “we will not accept to be blackmailed.”
World markets appear to have settled for now following a sharp drop after Trump threatened to impose extra tariffs of 10%, later rising to 25%, on imports from eight European countries.
U.S. futures advanced early Wednesday and Asian markets were mixed.
European shares opened marginally lower. But the price of gold shot up nearly 2%, surpassing its past records to trade at about $4,860 a troy ounce. Precious metals tend to gain in times of global uncertainty since they are viewed as a safe haven from risk.
Egyptian President Abdel-Fattah el-Sissi on Wednesday said the Palestinian cause is still “at the forefront of priorities” in the Middle East.
He told a panel at Davos that resolving Palestinian cause “is the core of regional stability, and a cornerstone to achieve a just and comprehensive peace.”
The Egyptian leader lauded Trump’s efforts to help reach a ceasefire that stropped the Israel-Hamas war in Gaza in October.
El-Sissi also encouraged international investment in his cash-strapped nation.
The president lauded his government’s efforts to overhaul infrastructure in Egypt, which he said was aimed at drawing private sector investments.
“The environment in Egypt is very attractive,” he said during a panel discussion at Davos.
Bessent said Trump is expected to land in Switzerland about three hours after he was originally scheduled to arrive.
Trump is scheduled to speak at Davos on Wednesday in a highly anticipated address.
The Associated Press asked Bessent about the Wall Street slump on Tuesday after Trump threatened to hit eight European countries with new tariffs as tensions escalate over his attempts to assert American control over Greenland.
The losses were widespread, with nearly every sector losing ground. Major indexes in the U.S. extended losses from last week in what has been a wobbly start to the year.
The S&P 500 fell 143.15 points, or 2.1%, to 6,796.86. It is the steepest drop for the benchmark index since October.
Bessent said he is not concerned.
U.S. Secretary Treasury Scott Bessent on Wednesday decried Europe’s “anger” and “bitterness” over Trump’s tariff threat.
Bessent urged the European Union to wait for Trump to arrive in Davos. He said he believes Europeans will be persuaded to support Trump’s concerns about Greenland once they hear his argument.
Bessent also said he is frustrated with the U.S. Federal Reserve.
The Supreme Court is hearing arguments Wednesday over Trump’s effort to oust Federal Reserve governor Lisa Cook based on allegations she committed mortgage fraud, which she denies.
No president has fired a sitting Fed governor in the agency’s 112-year history.
Trump's arrival in Switzerland has been delayed by mechancial trouble.
There was a minor electrical problem late Monday on Air Force One, the aircraft that transports the president, leading the crew to turn around the plane about 30 minutes into the flight out of an abundance of caution.
Trump boarded another aircraft, an Air Force C-32, a modified Boeing 757 normally used by the president for domestic trips to smaller airports, and continued his trip to Davos shortly after midnight.
AP World Economic Forum: https://apnews.com/hub/world-economic-forum
Alexander Stubb, President of Finland, attends a panel discussion during the 56th annual meeting of the World Economic Forum, in Davos, Switzerland, Wednesday, Jan. 21, 2026. (Gian Ehrenzeller/Keystone via AP)
Nvidia founder and CEO Jensen Huang speaks during the Annual Meeting of the World Economic Forum in Davos, Switzerland, Wednesday, Jan. 21, 2026. (AP Photo/Markus Schreiber)
Mark Rutte, Secretary-General, North Atlantic Treaty Organization (NATO), speaks during a panel discussion during the 56th annual meeting of the World Economic Forum, in Davos, Switzerland, Wednesday, Jan. 21, 2026. (Gian Ehrenzeller/Keystone via AP)
US rapper will.i.am speaks during the Annual Meeting of the World Economic Forum in Davos, Switzerland, Wednesday, Jan. 21, 2026. (AP Photo/Markus Schreiber)
Argentina's President Javier Milei, left, shakes hands with Switzerland's Federal President Guy Parmelin, right, prior to a bilateral meeting on the sideline of the 56th annual meeting of the World Economic Forum, WEF, in Davos, Switzerland, Wednesday, Jan. 21, 2026. (Laurent Gillieron/Keystone pool via AP)
Mark Rutte, left, Secretary-General, North Atlantic Treaty Organization (NATO), Karol Nawrocki, center, President of Poland, and Alexander Stubb, right, President of Finland, speak during a panel discussion during the 56th annual meeting of the World Economic Forum, in Davos, Switzerland, Wednesday, Jan. 21, 2026. (Gian Ehrenzeller/Keystone via AP)
President of Egypt Abdel Fattah El-Sisi speaks during the Annual Meeting of the World Economic Forum in Davos, Switzerland, Wednesday, Jan. 21, 2026. (AP Photo/Markus Schreiber)
Tim Cook, Apple CEO, makes a victory sign to the photographer in the corridors during the 56th annual meeting of the World Economic Forum, WEF, in Davos, Switzerland, Tuesday, Jan. 20, 2026. (Gian Ehrenzeller/Keystone via AP)
Canada's Prime Minister Mark Carney speaks during the Annual Meeting of the World Economic Forum in Davos, Switzerland, Tuesday, Jan. 20, 2026. (AP Photo/Markus Schreiber)
President of the European Commission Ursula von der Leyen talks during the Annual Meeting of the World Economic Forum in Davos, Switzerland, Tuesday, Jan. 20, 2026. (AP Photo/Markus Schreiber)
French President Emmanuel Macron talks with ECB President Christine Lagarde during the Annual Meeting of the World Economic Forum in Davos, Switzerland, Tuesday, Jan. 20, 2026. (AP Photo/Markus Schreiber)
President Donald Trump boards Air Force One for a trip to attend the World Economic Form in Davos, Tuesday, Jan. 20, 2026, at Joint Base Andrews, Md. (AP Photo/Evan Vucci)
