[gilsadis]

SmellTheGlove you're right. What joosters pasted is our website's TOS... You can definitely build a profitable insurance business with a 20% expense ratio. Our expenses are much lower than traditional insurers, plus we're not planning on buying any private jets :). We're here for turning insurance into a social good, as it was 400 years ago. Thanks for your support!

[SmellTheGlove]

You can, but there are very few P&C insurers currently doing it, and I've not seen an insurance startup willing to operate the way they do it. In the short run, you're only writing NY insurance, and 20% is completely possible. Scale is going to hurt initially, but if you do it right, it is possible to bring expenses back down. Legal and compliance, as well as handling claims, is going to be expensive on the way to 50 states.

My unsolicited advice, which may be worth exactly the zero that it's costing you, is to establish lean management and process control up front, and take a very hard look at the expenses you add in growth mode and evaluate whether you still need all of that once you've established 50 state operations and presumably can leverage internal economies of scale. That's one hell of a run on sentence.

And fix your website TOS to make it unambiguous that it does not apply to the insurance product or contract. You never know when some regulator is going to take issue.

[joosters]

Sure, it's from the website, but the language makes it clear that it covers everything - the "...SERVICE AND THE PURCHASE AND USE OF ANY PRODUCTS OR SERVICES" part. If you care for clarity, put an actual terms of service up that matches with your company behaviour.