Root Insurance

Root combines direct insurance distribution with proprietary telematics-based risk assessment. In its consumer business, it acquires policyholders digitally, captures driving behaviour through smartphone sensors, uses that data in pricing and underwriting, and earns recurring premium revenue on auto and renters policies. In its enterprise business, it extends its telematics and analytics capabilities to insurers and fleet operators through a software-style platform that supports risk measurement, underwriting support, and fleet analytics.

Root Insurance is a US-based digital insurer operating through Root, Inc., a public company listed on Nasdaq. Its core business is personal auto insurance priced primarily using telematics data gathered via a mobile app, with renters insurance offered as an adjacent consumer product. Customers can obtain quotes, manage policies, make payments, access insurance cards, and file claims in-app, making the company a mobile-first direct insurer rather than a traditional agency-led carrier.

In addition to consumer insurance, the company also offers Root Enterprise, a B2B telematics and analytics platform for insurers and fleet operators. Root therefore makes money from two main sources: insurance premium revenue from consumer policies and software or platform-style revenue from enterprise telematics tools. Its customers are primarily US drivers and renters on the consumer side, plus insurers and fleet operators on the enterprise side.