Artificial Intelligence

Japan’s SoftBank has backed a company that uses AI for homeowners insurance.

Japan’s SoftBank Group Corp., the majority owner of Sprint, is investing in homeowners insurance through a big round of funding for Lemonade, a company that uses artificial intelligence in the insurance business.

“SoftBank is an ideal partner for us and we are thrilled to have them on board. We share SoftBank’s conviction that big data and machine learning are set to profoundly remake our entire industry, and SoftBank has the vision and means to enable this common vision to become a reality,” said Shai Wininger, president of Lemonade.

The Japanese investor is leading a $120 million investment in Lemonade, a company that had previously raised $60 million from such blue chip investors as General Catalyst, Alphabet Inc.’s GV and Sequoia Capital. People familiar with the deal tell Bloomberg Lemonade is valued north of $500 million.

The New York-based startup uses artificial intelligence to minimize paperwork and speed up the claims process for renters and homeowners. Since launching in September 2016, Lemonade has obtained licenses in 25 states.

“Growth has been in excess of our expectations since our last round,” co-founder and Chief Executive Officer Daniel Schreiber, told Bloomberg. “We’ll end this year around 90,000 customers, and our target for the year was 13,000.”

Lemonade plans to use the funding to expand outside the U.S.

At Boca insurance agency Seeman Holtz, we’re dedicated to putting the best insurance companies together with property owners. We believe in providing each individual with not only the right insurance, but with the right service to meet your needs. We are an independent Boca Raton based national insurance agency offering major insurance carriers across the country, featuring all lines of personal and commercial insurance with unrivaled attention to client service.

Our proactive seasoned advisors provide each client with an annual risk analysis to make sure your insurance needs match your ever-changing family and financial situation. We work closely with you to review all of your options and assist in making decisions based on an insurance carrier’s reputation, coverage, and financial stability.