Lemonade.com Privacy Violations Settlement: $4.995M

Consumers in the United States who:

• Accessed lemonade.com, either directly or through bestow.com or northamericancompany.com, and
• Entered answers to health-related questions on a life insurance application between March 15, 2021, and Sept. 28, 2023.

N/A

Lemonade Inc., an insurance company offering life insurance through its partners Bestow and North American Company for Life and Health Insurance, has agreed to a $4.995 million settlement to resolve claims it improperly shared life insurance applicants’ health information with third parties without consent.

Plaintiffs allege that Lemonade violated consumer privacy laws by sharing sensitive health-related information submitted during life insurance applications. The lawsuit claims that applicants were not informed of or consented to these practices, which plaintiffs argue undermined their privacy rights.

Lemonade denies wrongdoing but has agreed to the settlement to resolve the allegations.

Compensation Details

Eligible class members can receive:

1. Cash Payment:

   • Estimated payment of up to $14.86 per claimant.
   • Actual payment amounts may vary depending on the number of claims filed.

2. Policy Changes:

   • As part of the settlement, Lemonade has agreed to stop sharing protected health information with third parties.

Submit a valid claim form by Jan. 21, 2025, to receive settlement benefits.