Pet Insurance

Embrace vs Lemonade: Which Is Your Best Bet For Pet Insurance?

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Last Updated: April 30, 2024 | 5 min read | Leave a Comment

This content was reviewed by our licensed insurance agent, Michelle Schenker.

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Two dogs laying in the grass

Embrace has a longstanding solid reputation and is known for its extensive coverage and faster-than-average claim payouts. Lemonade is newer to the industry but is already making a name for itself with its unique and speedy Artificial Intelligence (AI)-driven claims processing and more affordable premiums. While we find Embrace to be a better overall choice over Lemonade, we think it’s important for you to read our detailed comparison to determine which provider is best suited for your pet’s unique health needs and your budget.

We compare coverage, customer service and reputation, claim processing, pricing, and customizations and explain which company we think is better in most cases. But remember that each pet and household budget varies, so obtaining quotes from multiple companies for your unique situation can help ensure you get the best policy and price to meet your needs.

embrace logo transparent 200 pnglemonade logo 250 transparent
Policy CoverageExtensiveMore Limited
Customer Service & ReputationExcellent, StableUncertain, New
Claim Processing Average5 Days2 Days
Price Of PolicyHigherAverage
Plan CustomizationsManyMany
Overall WinnerBrown checkmark (Yes)
 Get Embrace QuoteGet Lemonade Quote
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Policy Coverage

Policy Coverage Winner

The table below shows what Embrace and Lemonade cover. 

Both companies cover emergency care, surgery and hospitalization, specialized exams and specialty care, X-rays, blood tests, ultrasounds, cat scans, MRIs, rehabilitation, cancer, chronic conditions, euthanasia, hereditary conditions, congenital conditions, non-routine dental treatment, and prescription medications.

Neither covers pre-existing conditions, pregnancy and breeding, or unnecessary cosmetic procedures. However, Embrace does cover curable pre-existing conditions as long as the pet goes symptom or treatment-free for one year or more.

embrace logo transparent 200 pnglemonade logo 250 transparent
Illness Waiting Period*14 Days 14 Days
Accident Waiting Period*2 Days 2 Days
Hip Dysplasia Waiting Period*6 Months 14 Days
CCL Surgery Waiting Period*6 Months 6 Months
Behavioral TherapiesBrown checkmark (Yes)Extra fee
Alternative/Holistic TherapyBrown checkmark (Yes)
Exam FeesBrown checkmark (Yes)Extra fee
CremationExtra fee (through wellness plans)Extra fee
UnderwriterAmerican Modern Property and Casualty Insurance CompanyLemonade Insurance Agency LLC
A.M. Best RatingA+Unrated

*Waiting periods for California, Delaware, Louisiana, Maine, Mississippi, Nebraska, New Hampshire, and Washington are as follows:

  • Accidents - 0 days
  • Illnesses - 14 days
  • Cruciate Ligament Conditions - 30 days
  • Routine Care - 0 days

Embrace has some of the best coverage in the pet insurance industry. As you can see, Embrace covers all of the items in the table above, while Lemonade doesn’t cover alternative or holistic therapies and requires an extended add-on plan for vet visits and behavioral therapies. However, both companies have reasonable waiting periods.

While Lemonade’s coverage is available for pets aged 8 weeks to 20+ years, it does have some breed and plan restrictions for specific ages. Embrace doesn’t have breed restrictions, but it doesn’t cover illnesses for pets enrolled after their 15th birthday (however, if the pet is enrolled before turning 15, full coverage will continue as long as you continue to pay your premium).

You’ll also notice that Embrace has an A+ A.M. Best rating, which is an excellent indicator of financial stability. Lemonade’s underwriter is unrated, which shows a potential greater risk of instability. Furthermore, Embrace is available in all 50 states, whereas Lemonade is only available in 37 U.S. states and Washington, D.C. Because of all of these factors, Embrace comes out ahead in this category.

Customer Service & Reputation

Customer Service & Reputation Winner

Founded in 2003, Embrace has a longstanding reputation as a stable and dependable pet insurance provider. Lemonade Pet Insurance was founded in 2020, so it’s relatively new to the industry. This makes it hard for us to gauge if Lemonade will offer consistent coverage, pricing, and customer service for the long haul. 

Regarding customer service, most of Embrace’s complaints from customers involve unpaid claims. However, most concerns we have found involve pet parents who didn’t read their policy in full and, as a result, were unaware of waiting periods or other exclusions. This is why you should read your pet insurance policy entirely, so you understand what is and isn’t covered, ideally, before you buy it.

Lemonade is unique in its customer service because it’s structured largely as a digital company. An AI chatbot handles claims. The majority of customers say the AI-driven claims process is fairly streamlined, and they are quickly reimbursed for eligible claims. Once Lemonade has been around for five or more years, we’ll be able to get a better idea of their customer service.

Claim Processing

Claim Processing Tie

Lemonade averages two days for claim processing, a speedy timeline compared to most competitors. A big selling point for Lemonade is its AI-driven claim process. AI allows Lemonade to pay the most straightforward claims within seconds of submission. This has disrupted the pet insurance space and caused competitors to look for ways to improve.

Embrace averages five days for claim processing for accidents and illnesses. This is still shorter than many pet insurance competitors. Embrace users seem pleased with the speediness and amount of the reimbursed claim when it is warranted.

We’re declaring this category a tie because both companies have speedy turnaround times. While Lemonade’s is faster on average, Embrace has a longer history of consistently reliable claims processing.

Price Of Policy

Price Of Policy Winner

Embrace has a one-time enrollment fee of $25 and a $1 per month transaction fee if you pay monthly. Lemonade has no one-time fees or transaction fees.

Policy pricing is based on your pet’s details (age, breed, location, etc.). We recommend obtaining quotes from each company for your specific pet. You can also visit our pet insurance comparison quotes to see a few sample prices we’ve gathered. 

Embrace is commonly among the most expensive pet insurance options, while Lemonade is typically less expensive than Embrace. But keep in mind that Lemonade’s basic policy doesn’t include coverage for vet exam fees or behavioral therapy (Embrace’s does). However, even with an extended add-on policy for vet visit coverage, Lemonade often is still less expensive.

Remember that it’s always best to get quotes for your specific dog to compare what pet insurance could cost for you. You can use our pet insurance quote form to get multiple company quotes when you complete this quick form.

Additionally, both companies have annual deductibles, which is important if your pet experiences multiple accidents or illnesses during the policy period (one year).

Coupons

Embrace

Embrace offers the following discounts:

  • 10% off (5% off in NY) for multiple pets 
  • 5% off for military and veterans (NY and TN excluded)
  • 10% off if your company or clinic offers Embrace as an employee benefit (FL, ND, NY, and TN excluded)
  • 5% off in NY if you pay annually
  • Up to 25% off for eligible USAA customers
  • Your deductible automatically goes down $50 each year you don’t receive a claim payment

Use this link to take advantage of the best possible price. No promo code is needed.

Lemonade

Lemonade offers the following discounts: 

  • 10% off if you bundle with your renters, homeowners, auto, condo, or co-op insurance
  • 5% off for multiple pets 
  • 5% off if you pay annually

Use this link to take advantage of the best possible price. No promo code is needed.

Plan Customization

Plan Customization Winner

Finding a company that has the coverage you need and fits within your budget is a necessity. See what plan options you have below from each provider.

EmbraceLemonade
Deductible Options$200, $300, $500, $750, $1,000$100, $250, $500
Payout Options$5,000, $8,000, $10,000, $15,000, $30,000, unlimited$5,000, $10,000, $20,000, $50,000, $100,000
Reimbursement Options70%, 80%, 90%70%, 80%, 90%
Optional Wellness PlanBrown checkmark (Yes)Brown checkmark (Yes)
Accident-Only PlanPets enrolled after their 15th birthday

Both companies offer multiple plan customizations to help you find the best option for your budget. However, Embrace offers a slightly wider variety of deductibles and payouts. And Lemonade doesn’t have an accident-only plan.

What’s The Verdict?

Overall, Embrace wins this comparison against Lemonade due to its extensive policy coverage, excellent customer service and reputation, and plan customization options. However, if you’re looking for a more budget-friendly provider, Lemonade is worth your consideration.

If you didn’t find what you were looking for, our experts dig even deeper into each company in our in-depth reviews of Embrace and Lemonade.

Our experts have spent thousands of hours researching to bring you our comprehensive and frequently updated pet insurance reviews, including our top picks, along with details on each of the most popular pet insurance companies. So, if you want to know how other providers compare against one another, you may find this review helpful in your pet insurance search.

The information provided through this website should not be used to diagnose or treat a health problem or disease; it is not intended to offer any legal opinion or advice or a substitute for professional safety advice or professional care. Please consult your health care provider, attorney, or product manual for professional advice. Products and services reviewed are provided by third parties; we are not responsible in any way for them, nor do we guarantee their functionality, utility, safety, or reliability. Our content is for educational purposes only.

Disclaimer: Information regarding insurance company offerings, pricing, availability, and other contract details are subject to change by the insurance company at any time and are not under the control of this website. Information published on this website is intended for reference use only. Please review your policy carefully before signing up for a new insurance contract or any other contract as your unique circumstances will differ from those of others who may be used for example purposes in this article.

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