Lemonade

Inside P&C’s morning summary of the key stories to get you up to speed fast.

Acquisition costs for auto InsurTech Metromile and losses from Hurricane Ian expanded net loss by 37.7% YoY to $91.4mn.

The InsurTech has launched in the UK after previously setting up shop in France, Germany and the Netherlands.

As ITC Vegas begins, the Inside P&C Research team explores the discussions needed among InsurTechs to address questions around capital, partnerships, and profitability prospects.

The company ceded 75% of gross premiums in 2020.

Odyssey Group’s cyber chief Robert O’Connell is looking to raise up to $1bn of capital for a monoline cyber reinsurer.

The InsurTechs’ results show the path to profitability remains unclear, even as Lemonade said it expects to be self-funding from here.

Inside P&C’s morning summary of the key stories to get you up to speed fast.

The executive named cat events and persistent levels of high inflation as two other factors that could “put an unforeseen dent to our loss ratios for the next few quarters”.

Lemonade said “ballooning costs will remain a topic of concern as long as they persist” while inflation accelerates.

The all-cash deal was completed following the closure of Metromile’s $500mn acquisition by Lemonade last week.

Last November, Lemonade struck a deal to buy the Californian InsurTech in an all-stock transaction, implying a diluted equity value of $500mn, or $200mn net of cash.