Behavioral Economist Tackles Insurance Fraud For Startup Lemonade

The Internet, and the sharing economy, have changed the way we buy everything — from books to mattresses to “hotel rooms” to taxi rides. Now, it’s the insurance industry’s turn. A series of startups promise disruption of this product consumers love to hate. (Sorry, Flo.) Even well-known author Dan Ariely is now in on the act. Ariely, a behavioral economist famous for best-sellers like Predictably Irrational, just joined insurance FinTech startup Lemonade as Chief Behavioral Officer. Fraud is a big reason insurance costs so much, and Ariely said he will use his research into dishonesty as a way to shrink costs for everyone.