Startup insurer uses behavioral economics and artificial intelligence to win customer trust and business. Can an insurtech startup make people feel good about insurance? Lemonade, a startup insurer that launched its end-to-end digital renters and homeowners insurance product in September 2016 in New York and recently expanded its renters product into Illinois, is betting on it. The company promises to disrupt the homeowners market by offering three advantages: Unprecedented speed in buying insurance and settling claims through its smiling bots, AI Maya and AI Jim. Greater transparency into the fees that it collects to manage the platform Social benefit through its B-Certified corporation status and the “giveback” donation of excess premium to a not-for-profit organization selected by the customer.