What kind of insurance is the Root?
Root Insurance primarily offers auto insurance but has expanded to include renter’s insurance and homeowners insurance in some states. It is known for its usage-based insurance model, which calculates premiums based on the policyholder’s driving habits tracked via a smartphone app. Root targets low-risk drivers and adjusts premiums according to safe driving behavior, resulting in potential cost savings for careful drivers.
Types of Insurance Offered by Root:
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Auto Insurance: Root’s main product, auto insurance, includes coverage options like liability, collision, comprehensive, medical payments, and uninsured motorist protection. Discounts are based on good driving behavior.
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Renters Insurance: Root offers renters insurance that covers personal property, liability, and additional living expenses if the insured property is damaged.
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Homeowners Insurance: In certain states, Root has begun offering homeowners insurance, providing coverage for the home, personal belongings, and liability.
Root’s app-driven approach and focus on behavioral data for underwriting set it apart from traditional insurers, allowing for personalized and often lower-cost coverage(Canine Journal)(Investopedia)