Related Party Transactions

3 Months Ended

Mar. 31, 2021

Related Party Transactions [Abstract]

Related Party Transactions

Related Party Transactions

The Company uses the services of a travel agency owned by a relative of one of the Company’s key stockholders. The Company did not incur travel related expenses during the three months ended March 31, 2021, and less than $0.1 million of travel related expenses was incurred during the three months ended March 31, 2020.

The Company has historically leased office spaces in the United States and The Netherlands from an affiliate. There was no rental expense incurred for the three months ended March 31, 2021 as the rental agreement expired in 2020. Rental expense amounted to less than $0.1 million for the three months ended March 31, 2020. There were no outstanding amounts due to or from related parties as of March 31, 2021 and December 31, 2020.

The Company’s Chief Executive Officer and the Company’s President and Chief Operating Officer, both of whom are also members of the Company’s board of directors, are the two sole members of the board of directors of the Lemonade Foundation. The Company contributed 500,000 shares of common stock with a fair market value of $24.36 per share (see Note 9). The Company recorded $12.2 million of non-cash expense within general and administrative expense in connection with this contribution for the year ended December 31, 2020. In connection with the Follow-on Offering as discussed in Note 9, Lemonade Foundation sold 100,000 shares of the contributed shares of the Company. As of March 31, 2021, there were no outstanding amounts due to or from the Lemonade Foundation.