Insurance is not the first industry that comes to mind when debating the best digital experiences. This was reiterated for me recently as I made a number of insurance purchases across both business and home. The majority of these experiences were at best outdated, or at worst, barely usable (B2B insurance is very far behind). One experience that stood out as miles ahead of the competition was buying home insurance through Lemonade. Through the use of automation and simplicity, Lemonade had me as a new paid customer in under 3 minutes.
I started the home insurance journey on Geico’s website as I already have car insurance through them, and on occasion the gecko makes me laugh. They started the experience by asking a lot of questions. One question that threw me off was how many miles my home was from a fire station. I pulled up Google Maps and wondered if I was supposed to measure this as the crow flies or as the fire engine drives (they didn’t specify). In addition, they also asked me the following questions: current address, year the home was built, square feet, exterior type, roof shape, when the roof was last replaced, type of foundation, number of stories, distance to fire hydrant, material of kitchen counters, to name a few. The whole experience was clunky, disjointed and confusing. Not to mention I didn’t know some of the answers as it was a new property. As a user I felt unsure and annoyed.
Lemonade in contrast, was incredibly simple. Maya, their AI chatbot is the first thing you notice and she’s there with you the whole time if you need her. The first question you see is a simple one asking if it has a fire alarm and burglar alarm. Beyond this there are a few more quick checkbox questions before a quote. They found a way to integrate the distance to the fire station, fire hydrant, building age and materials, and other criteria automatically in order to save the user valuable time and effort. This resulted in a very rapid quote that clearly articulated what was included. It also has a simple interface that auto calculates additional coverages if desired.
The end outcome was a 3x faster experience, and increased confidence that I hadn’t made a mistake as a user. It also provided a more competitive and transparent rate than Geico. I am excited for the rest of the insurance industry to catch up and believe Lemonade is showing them the way forward.
- Alex Smith, Co-Founder at Fuego UX