SoFi grows insurance portfolio with AI driven Lemonade and mobile data insurer Root

SoFi, the online financial services provider, has partnered with AI powered-insurer Lemonade and smartphone and data science auto insurer Root to expand its insurance portfolio.

Under separate deals with Lemonade and Root, SoFi members will have access to property insurance and auto insurance through their respective partners.

Anthony Noto, SoFi CEO, said: "Protecting yourself and your assets is a critical and often overlooked piece of your overall financial wellbeing.

"People come to SoFi to get their money right, and we're pleased to now provide them with more tools to be able to do so by partnering with companies that share our values in ease of use, transparency, and efficiency."

Research conducted by the financial services provider in the past 12 months, including more than 8,000 conversations between members and financial planners, revealed that its members are under- or uninsured.

Lemonade chief lemonade maker and cofounder Shai Wininger said: "Joining forces with SoFi is a natural evolution of our product and distribution channels. Both companies are driven by customer centricity and transparency, building products that are simple, fast, and delightful.

"Offering Lemonade's insurance product to SoFi members is just the first phase of this collaboration between like-minded technology companies challenging the financial industry status quo."

Alex Timm, Root Insurance cofounder and CEO, said: "Our priority at Root is to put the power back into consumers' hands by making auto insurance clear and understandable.

"We're excited to partner with the SoFi team as a means for members to have access to more affordable, accurate and fair auto insurance."

SoFi has also strengthened its existing partnership with digital-first life insurance platform Ladder. In conjunction with Ladder, SoFi is offering members a $25 incentive to invest in stocks, ETFs, or with roboadvising through SoFi Invest for any eligible individuals who apply for life insurance through the SoFi and Ladder partnership. The aim is to encourage wider understanding about the costs and benefits of life insurance.