Lemonade Inc (LMND) 2023 Q1 法說會逐字稿

Thank you for standing by. My name is Sydney, and I will be your conference operator today. At this time, I would like to welcome everyone to the Lemonade Q1 2023 Earnings Call. (Operator Instructions)

謝謝你的支持。我叫悉尼，今天我將擔任你們的會議接線員。此時，我想歡迎大家參加 Lemonade 2023 年第一季度財報電話會議。 （操作員說明）

We will now turn it over to Yael to begin the conference.

我們現在將把它交給 Yael 來開始會議。

Good morning, and welcome to Lemonade's First Quarter 2023 Earnings Call. My name is Yael Wissner-Levy, and I am the VP Communications at Lemonade. Joining me today to discuss our results are Daniel Schreiber, Co-CEO and Co-Founder; Shai Wininger, Co-CEO and Co-Founder; and Tim Bixby, our Chief Financial Officer.

早上好，歡迎來到 Lemonade 2023 年第一季度財報電話會議。我叫 Yael Wissner-Levy，是 Lemonade 的傳播副總裁。今天和我一起討論我們的結果的是聯合首席執行官兼聯合創始人 Daniel Schreiber； Shai Wininger，聯席首席執行官兼聯合創始人；和我們的首席財務官 Tim Bixby。

A letter to shareholders covering the company's first quarter 2023 financial results is available on our Investor Relations website, investor.lemonade.com.

在我們的投資者關係網站 investor.lemonade.com 上可以找到一封致股東的信，內容涉及公司 2023 年第一季度的財務業績。

Before we begin, I would like to remind you that management's remarks on this call may contain forward-looking statements within the meaning of the Private Securities Reform Act of 1995. Actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors, including those discussed in the Risk Factors section of our Form 10-K filed with the SEC on March 3, 2023, and our other filings with the SEC.

在我們開始之前，我想提醒您，管理層對本次電話會議的評論可能包含 1995 年《私人證券改革法案》含義內的前瞻性陳述。實際結果可能與這些前瞻性陳述所表明的結果存在重大差異，因為各種重要因素的結果，包括我們於 2023 年 3 月 3 日向美國證券交易委員會提交的 10-K 表格的風險因素部分中討論的那些因素，以及我們向美國證券交易委員會提交的其他文件。

Any forward-looking statements made on this call represent our views only as of today, and we undertake no obligation to update them.

在此次電話會議上做出的任何前瞻性陳述僅代表我們截至今天的觀點，我們不承擔更新這些陳述的義務。

We will be referring to certain non-GAAP financial measures on today's call, such as adjusted EBITDA and adjusted gross profit, which we believe may be important to investors to assess our operating performance. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in our letter to shareholders.

我們將在今天的電話會議上提及某些非 GAAP 財務指標，例如調整後的 EBITDA 和調整後的毛利，我們認為這對投資者評估我們的經營業績可能很重要。這些非 GAAP 財務措施與最直接可比的 GAAP 財務措施的對賬包含在我們致股東的信中。

Our letter to shareholders also includes information about our key operating metrics, including in force premium, premium per customer, gross loss ratio and net loss ratio and a definition of each metric why each is useful to investors and how we use each to monitor and manage our business.

我們致股東的信還包括有關我們關鍵運營指標的信息，包括有效保費、每位客戶保費、總損失率和淨損失率，以及每個指標的定義為什麼每個指標對投資者有用，以及我們如何使用每個指標來監控和管理我們的業務。

With that, I'll turn the call over to Daniel for some opening remarks. Daniel?

有了這個，我將把電話轉給丹尼爾，讓他發表一些開場白。丹尼爾？

Good morning, and thank you for joining us to discuss Lemonade's Q1 results and our updated outlook for the year. We are heartened by the continued progress we're seeing across all the KPIs that we rely on in managing our business, our growth metrics, IFP, of course, but also its component parts like annual dollar retention and premium per customer, all moved up nicely. And at the same time, our loss ratio and adjusted EBITDA loss, both moved to down nicely. And I think that tells a compelling story.

早上好，感謝您加入我們討論 Lemonade 第一季度的業績和我們今年更新的展望。我們在管理業務時所依賴的所有 KPI 中看到的持續進步令我們感到鼓舞，我們的增長指標，IFP，當然，還有它的組成部分，如每年的美元保留率和每位客戶的溢價，都在上升很好。與此同時，我們的損失率和調整後的 EBITDA 損失都很好地下降了。我認為這講述了一個引人入勝的故事。

Looked at from another angle we see that our gross earned premium and gross profit, both grew by over 60% year-on-year even as our operating expense grew by only 4%. Whichever way you look at it, Q1's results suggest that the business is progressing, both in size and profitability, very much in line with what we'd hoped to see.

從另一個角度來看，我們的毛保費和毛利潤同比增長超過 60%，而我們的運營費用僅增長 4%。無論從哪個角度來看，第一季度的結果都表明該業務在規模和盈利能力方面都在取得進展，非常符合我們希望看到的情況。

As Tim will share shortly, we're boosting our adjusted EBITDA guidance for the year by some 20%, suggesting that we don't see this goodness as limited to Q1, but rather that we believe Q1's results will be reflective of an improved trend line on our path to profitability.

正如 Tim 即將分享的那樣，我們將今年調整後的 EBITDA 指引提高了約 20%，這表明我們認為這種優勢不僅限於第一季度，而是我們相信第一季度的結果將反映出改善的趨勢我們的盈利之路。

Drilling on the loss ratio for a minute longer, despite continued inflation and increased frequency of natural disasters, or CATs, our loss ratio continued its descent, clocking in at 87%, down from 89% in the previous quarter and 94% the quarter before that.

再研究一分鐘的損失率，儘管通貨膨脹持續和自然災害或 CAT 的頻率增加，我們的損失率繼續下降，從上一季度的 89% 和上一季度的 94% 下降到 87%那。

This welcome decline is even more pronounced when examining the underlying progression net of CAT. Using this filter, we see a 7 percentage point drop quarter-on-quarter and a 16% drop over the past 6 months.

在檢查 CAT 的潛在進展網時，這種可喜的下降更為明顯。使用此過濾器，我們看到環比下降 7 個百分點，過去 6 個月下降 16%。

As mentioned in previous calls, we expect our current trajectory to broadly continue, albeit with occasional hiccups when outside CATs introduced a brief reversal. Powering this progress is continuous advancement in our AI and machine learning capabilities and the increasingly predictive power of the data sets on which they are fed.

正如在之前的電話會議中提到的那樣，我們預計我們目前的軌跡將廣泛延續，儘管當外部 CAT 引入短暫逆轉時偶爾會出現問題。推動這一進步的是我們人工智能和機器學習能力的不斷進步，以及它們所依賴的數據集的預測能力越來越強。

At our Investor Day last November, we demonstrated LTV6, our integrated array of AI is able to predict churn, cross-sells and claims with what we believe is unprecedented precision.

在去年 11 月的投資者日，我們展示了 LTV6，我們的人工智能集成陣列能夠以我們認為前所未有的精度預測客戶流失、交叉銷售和索賠。

In the first quarter of this year, we deployed our latest model, LTV7, and its successor, LTV8, will supplant LTV7 by midyear.

今年第一季度，我們部署了最新型號 LTV7，其繼任者 LTV8 將在年中取代 LTV7。

Each new generation represents a significant milestone within our company. LTV7, for example, refined our CAT loss predictions pretty dramatically. While LTV6 predicted CAT exposures at a ZIP code level. LTV 7 increased that resolution, and we now assess CAT exposure of each discrete home individually.

每一代新人都代表著我們公司的一個重要里程碑。例如，LTV7 非常顯著地完善了我們的 CAT 損失預測。而 LTV6 預測了郵政編碼級別的 CAT 暴露。 LTV 7 提高了該分辨率，我們現在單獨評估每個離散家庭的 CAT 暴露。

Our models will continue evolving as our data becomes richer and more extensive bringing us ever closer to achieving true precision pricing and underwriting.

隨著我們的數據變得更豐富和更廣泛，我們的模型將繼續發展，使我們離實現真正的精確定價和承保更近一步。

Finally, I want to highlight that our much anticipated Chewy partnership launched in Arizona this week and we'll continue to roll out across the U.S. in the weeks to come. We're eager to see the results of combining 2 such tech-powered and values aligned companies to serve CAT families nationwide.

最後，我想強調一下，本週我們在亞利桑那州推出了備受期待的 Chewy 合作夥伴關係，我們將在未來幾週內繼續在美國各地推出。我們渴望看到將這兩家以技術為動力且價值觀一致的公司結合起來為全國的 CAT 家庭提供服務的結果。

With that, I'll hand the call over to Shai to dig a little deeper into what's happening in the world of AI and the welcome implications for Lemonade. Shai?

有了這個，我將把電話轉給 Shai，讓他更深入地了解 AI 世界正在發生的事情以及對 Lemonade 的歡迎影響。曬？

Thanks, Daniel. I'd like to spend a few minutes on the hottest topic around generative AI. AI has always been an integral part of our DNA. Lemonade was built as a tech-powered insurance company. We were the first to provide customers with human-like chat-based experience that works 24/7 and handles all of our direct sales. On the back end, we built a first of its kind insurance operating system that lets our team service our customers efficiently and delightfully.

謝謝，丹尼爾。我想花幾分鐘談談關於生成 AI 的最熱門話題。人工智能一直是我們 DNA 中不可或缺的一部分。 Lemonade 是一家以科技為動力的保險公司。我們是第一個為客戶提供基於聊天的人性化體驗的公司，該體驗全天候工作並處理我們所有的直接銷售。在後端，我們建立了同類保險操作系統中的第一個，讓我們的團隊能夠高效、愉快地為客戶提供服務。

This year, ChatGPT 4 and other large language models made a huge leap forward, a jump that I believe will change our lives in ways we can't fully imagine. But even before we let ourselves wonder how artificial intelligence will impact society, the potential impact this technology brings to businesses like ours is substantial.

今年，ChatGPT 4 和其他大型語言模型實現了巨大的飛躍，我相信這一飛躍將以我們無法完全想像的方式改變我們的生活。但即使在我們想知道人工智能將如何影響社會之前，這項技術給像我們這樣的企業帶來的潛在影響也是巨大的。

Generative AI and specifically GPT and its successors are technologies that can reason and learn like never before. They have the potential to not only improve efficiency and customer service but to revolutionize the way we assess risk and make decisions. This technology will help us better anticipate customer needs, respond to more claims instantly and ultimately provide better coverage at lower costs.

生成式人工智能，特別是 GPT 及其後繼者，是能夠以前所未有的方式進行推理和學習的技術。它們不僅有可能提高效率和客戶服務，而且有可能徹底改變我們評估風險和做出決策的方式。這項技術將幫助我們更好地預測客戶需求，立即響應更多索賠，並最終以更低的成本提供更好的覆蓋範圍。

For our competitors, though, adapting to this change will not be easy. A traditional insurance company depends on hundreds of disparate software tools to run its business. Many of which are outdated legacy systems built decades ago by third-party vendors with little to no control over the development of these tools, integrating generative AI technologies like ChatGPT will require a significant amount of time, effort and investment. And even then, it may never live up to its full potential.

不過，對於我們的競爭對手來說，適應這種變化並不容易。一家傳統的保險公司依靠數百種不同的軟件工具來運營其業務。其中許多是幾十年前由第三方供應商構建的過時遺留系統，對這些工具的開發幾乎沒有控制權，集成 ChatGPT 等生成式 AI 技術將需要大量時間、精力和投資。即便如此，它也可能永遠無法發揮其全部潛力。

Lemonade on the other hand was built for this moment. Nearly 8 years ago, we took a bet on conversational UI and chatbots. And since then have sold nearly 100% of our policies with no human intervention. Over the years, we've updated our systems to use the latest AI technology as models evolved and became increasingly better. Today, we use dozens of AI models to do pricing, underwriting, customer service, payments and many other internal operations.

另一方面，檸檬水就是為這一刻而建的。將近 8 年前，我們押注於對話式 UI 和聊天機器人。從那時起，我們幾乎 100% 的保單都在沒有人為乾預的情況下售出。多年來，隨著模型的發展和變得越來越好，我們更新了我們的系統以使用最新的 AI 技術。今天，我們使用數十種人工智能模型來進行定價、承銷、客戶服務、支付和許多其他內部操作。

We even built our own internal AI framework to help us manage and deploy models seamlessly and quickly across the organization. In just a matter of days, our team was able to add ChatGPT and other generative AI tools to our platform. We now have more than 100 different initiatives, which we believe can have a meaningful impact on our business.

我們甚至構建了自己的內部 AI 框架，以幫助我們在整個組織內無縫、快速地管理和部署模型。在短短幾天內，我們的團隊就能夠將 ChatGPT 和其他生成式 AI 工具添加到我們的平台。我們現在有 100 多項不同的舉措，我們相信這些舉措會對我們的業務產生有意義的影響。

As a result, we expect to see more savings in the next 18 months and anticipate continued improvements in both our expense and loss ratios.

因此，我們預計在未來 18 個月內將節省更多費用，並預計我們的費用和損失率將繼續改善。

And with that, I'll turn the call over to Tim, who can provide more detail on our Q1 results and a view into the rest of 2023. Tim?

有了這個，我會把電話轉給蒂姆，他可以提供更多關於我們第一季度結果的細節以及對 2023 年剩餘時間的看法。蒂姆？

Great. Thanks, Shai. I'll give a bit more color on our Q1 results as well as expectations for the second quarter and the full year, and then we'll take your questions.

偉大的。謝謝，夏伊。我將對我們的第一季度業績以及對第二季度和全年的預期給出更多的顏色，然後我們將回答您的問題。

It was a strong quarter on every key metric with good progress on loss ratio, marketing efficiency and expense management. In force premium, or IFP, grew 56% in Q1 as compared to the prior year to $653 million. Absent the impact of the Metromile acquisition, organic annual growth was approximately 32%.

該季度在每個關鍵指標上都表現強勁，在損失率、營銷效率和費用管理方面取得了良好進展。第一季度的有效保費 (IFP) 與去年同期相比增長 56%，達到 6.53 億美元。如果不考慮 Metromile 收購的影響，有機年增長率約為 32%。

Customer count increased by 23% to 1.9 million as compared to the prior year. Premium per customer increased 26% versus the prior year to $352. This increase was driven primarily by the Metromile acquisition impact and to a lesser extent, the combination of increased value of policies over time as well as a continuing mix shift toward higher-value homeowner car and pet policies.

與上一年相比，客戶數量增加了 23%，達到 190 萬。每位客戶的保費較上年增長 26% 至 352 美元。這一增長主要是由 Metromile 收購的影響推動的，在較小程度上，隨著時間的推移保單價值的增加以及向更高價值的房主汽車和寵物保單的持續組合轉變。

Annual dollar retention, or ADR, increased by 5 percentage points to 87% versus the prior year, a new high. We measure ADR, as a reminder, on an annual cohort basis, and include the impact of changes in policy value, additional policy purchases in churn. Gross earned premium in Q1 increased 61% as compared to the prior year to $154 million, roughly in line with the increase of in force premium.

年度美元保留率 (ADR) 與上一年相比增加了 5 個百分點，達到 87%，創下新高。作為提醒，我們以年度隊列為基礎衡量 ADR，並包括保單價值變化的影響、流失的額外保單購買。第一季度的毛收入保費較上年同期增長 61% 至 1.54 億美元，與有效保費的增長大致一致。

Revenue in Q1 increased 115% from the prior year to $95 million. The growth in revenue was driven by the increase in gross earned premium as well as a reduction in the proportion of premium ceded to reinsurers to roughly 56% in the quarter as compared to approximately 71% in the prior year.

第一季度的收入比上年增長 115%，達到 9500 萬美元。收入的增長是由於毛收入保費的增加以及分出給再保險公司的保費比例從去年同期的約 71% 下降到本季度的約 56%。

Our gross loss ratio was 87% for Q1 as compared to 90% in Q1 2022 and 89% in Q4 2022.

我們第一季度的毛損率為 87%，而 2022 年第一季度為 90%，2022 年第四季度為 89%。

The impact of CATs in Q1 was roughly 14 percentage points within the overall gross loss ratio. Absent the impact of all CATs, in Q4 and Q1, the underlying non-CAT loss ratio showed solid improvement of roughly 7 percentage points from Q4 to Q1. Operating expenses, excluding loss and loss adjustment expense, increased just 4% to $96 million in Q1 as compared to the prior year. And this increase is primarily driven by increased personnel expense and stock-based compensation expense.

第一季度巨災對總毛損率的影響約為 14 個百分點。在第 4 季度和第 1 季度，如果沒有所有 CAT 的影響，潛在的非 CAT 損失率從第 4 季度到第 1 季度穩步提高了大約 7 個百分點。與去年同期相比，第一季度的運營費用（不包括損失和損失調整費用）僅增長 4% 至 9600 萬美元。而這一增長主要是由增加的人員費用和基於股票的補償費用推動的。

In large part due to the Metromile acquisition, but partially offset by lower sales and marketing expense.

這在很大程度上是由於對 Metromile 的收購，但部分被較低的銷售和營銷費用所抵消。

Other insurance expense grew 49% in Q1 versus the prior year, roughly in line with the growth of our earned premium. Total sales and marketing expense declined by $10.1 million or 26%, primarily due to lower growth acquisition spending to acquire new customers.

第一季度其他保險費用較上年增長 49%，與我們已賺保費的增長大致一致。總銷售和營銷費用下降了 1010 萬美元或 26%，這主要是由於用於獲取新客戶的收購支出增長放緩。

Notably, our growth spend efficiency improved in Q1 Each dollar spent on growth generated roughly 12% more IFP this quarter versus the prior year.

值得注意的是，我們在第一季度的增長支出效率有所提高，與去年同期相比，本季度用於增長的每一美元產生的 IFP 增加了大約 12%。

Technology development expense increased 29%, primarily due to the Metromile acquisition, while G&A expense increased 16% as compared to the prior year, but notably increased just 5% as compared to the prior quarter. Personnel growth continued at a very modest pace. Our headcount increased just 1% as compared to year-end 2022 to 1,384.

技術開發費用增長 29%，主要是由於收購 Metromile，而 G&A 費用較上年同期增長 16%，但較上一季度僅增長 5%。人員繼續以非常溫和的速度增長。與 2022 年底相比，我們的員工人數僅增加了 1%，達到 1,384 人。

Headcount increased 19% as compared to the prior year, again, primarily due to the impact of the Metromile acquisition in Q3.

與上一年相比，員工人數再次增加 19%，這主要是由於第三季度收購 Metromile 的影響。

Net loss was $65.8 million in Q1 or $0.95 per share as compared to the $74.8 million loss we reported in the first quarter of 2022 or $1.21, excuse me, per share. While adjusted EBITDA loss was $50.8 million in Q1, an 11% improvement as compared to the $57.4 million adjusted EBITDA loss in the first quarter of 2022.

第一季度淨虧損為 6580 萬美元或每股 0.95 美元，而我們在 2022 年第一季度報告的虧損為 7480 萬美元或每股虧損 1.21 美元。雖然第一季度調整後的 EBITDA 虧損為 5080 萬美元，但與 2022 年第一季度的調整後 EBITDA 虧損 5740 萬美元相比減少了 11%。

Our total cash, cash equivalents and investments ended the quarter at approximately $993 million, reflecting a use of cash for operations of $46 million since year-end 2022.

我們的現金、現金等價物和投資總額在本季度結束時約為 9.93 億美元，反映出自 2022 年年底以來，現金用於運營的資金為 4600 萬美元。

And with these goals and metrics in mind, I'll outline our specific financial expectations for the second quarter and for the full year 2023.

考慮到這些目標和指標，我將概述我們對第二季度和 2023 年全年的具體財務預期。

For the second quarter, we expect in force premium at June 30 of between $665 million and $668 million, gross earned premium between $156 million and $158 million, revenue of between $96 million and $98 million, and adjusted EBITDA loss of between $58 million and $55 million. Stock-based compensation expense of approximately $15 million, capital expenditures of approximately $3 million. And our weighted average share count, we estimate to be approximately 70 million shares.

對於第二季度，我們預計 6 月 30 日的有效保費在 6.65 億美元至 6.68 億美元之間，已賺保費總額在 1.56 億美元至 1.58 億美元之間，收入在 9600 萬美元至 9800 萬美元之間，調整後的 EBITDA 虧損在 5800 萬美元至 55 美元之間百萬。基於股票的補償費用約為 1500 萬美元，資本支出約為 300 萬美元。而我們的加權平均股數，我們估計約為 7000 萬股。

And for the full year of 2023, we expect in force premium at December 31 of between $700 million and $705 million, gross earned premium of between $645 million and $650 million, revenue between $392 million and $396 million, and an adjusted EBITDA loss of between $205 million and $200 million. We expect stock-based compensation expense for the full year of approximately $60 million and capital expenditures of approximately $12 million and a weighted average share count of 70 million shares. And with that, I would like to hand things back over to Shai.

對於 2023 年全年，我們預計截至 12 月 31 日的有效保費在 7 億美元至 7.05 億美元之間，已賺保費總額在 6.45 億美元至 6.5 億美元之間，收入在 3.92 億美元至 3.96 億美元之間，調整後的 EBITDA 虧損在2.05 億美元和 2 億美元。我們預計全年基於股票的薪酬支出約為 6000 萬美元，資本支出約為 1200 萬美元，加權平均股數為 7000 萬股。因此，我想把事情交還給 Shai。

Thanks, Tim. We'll now turn to the top-voted shareholders' questions submitted through the [SAY] platform. Darren asks, how can we expect investors to support the current team if insiders aren't buying shares at today's low levels?

謝謝，蒂姆。我們現在將轉向通過 [SAY] 平台提交的投票最多的股東問題。達倫問道，如果內部人士不在今天的低位買入股票，我們怎麼能指望投資者支持目前的團隊？

Darren, thanks for the question. As you can imagine, we concretely get into our team's personal financial considerations. Each of our colleagues have their own situation, Their decisions to buy and sell shares are guided by personal factors that I'm unaware of. And I'm not involved in. But I can speak for myself, and I know Daniel is in a similar position.

達倫，謝謝你的提問。正如您所想像的，我們具體地考慮了我們團隊的個人財務考慮。我們每個同事都有自己的情況，他們買賣股票的決定是由我不知道的個人因素決定的。我沒有參與其中。但我可以為自己說話，而且我知道丹尼爾處於類似的位置。

Lemonade has been and remains by far our largest holding, and we don't plan for that to change anytime soon. We are both heavily financially invested in Lemonade and wholeheartedly believe in the long-term vision we shared with our shareholders. For that reason, we're both completely aligned with our investors financially.

Lemonade 一直是並且仍然是我們最大的控股公司，我們不打算很快改變這種情況。我們都對 Lemonade 投入了大量資金，並全心全意地相信我們與股東分享的長期願景。出於這個原因，我們在財務上都與我們的投資者完全一致。

By the way, throughout the life of the company, both Daniel and I chose to have our compensation updates paid in shares with a high strike price.

順便說一句，在公司的整個生命週期中，丹尼爾和我都選擇以高行使價的股票支付我們的薪酬更新。

We believe that this aligns us with our investors even further and ties our financial success with the success of those who decided to invest in the company.

我們相信，這進一步使我們與投資者保持一致，並將我們的財務成功與那些決定投資公司的人的成功聯繫起來。

In any event, though, I believe that personal financial decisions of other people shouldn't be the main factor for anyone when deciding to invest in a company. People have different considerations, including availability of cash, portfolio balancing as well as family and other commitments.

不過無論如何，我認為其他人的個人財務決定不應該成為任何人決定投資一家公司的主要因素。人們有不同的考慮因素，包括現金的可用性、投資組合平衡以及家庭和其他承諾。

I wouldn't recommend investors buy or sell shares by mistakenly treating insiders liquidity decisions as signals. Instead, I hope you and others will focus on whether you believe Lemonade can deliver on the vision we've outlined and how that would benefit today's shareholders.

我不會建議投資者錯誤地將內部人員的流動性決策視為信號來買賣股票。相反，我希望你和其他人關注你是否相信 Lemonade 能夠實現我們概述的願景，以及這將如何使今天的股東受益。

Well, the second question, Brian A., asked about Lemonade Car progress and plans for the next 6 months.

那麼，第二個問題，Brian A.，詢問了 Lemonade Car 的進展和未來 6 個月的計劃。

Well, Brian, we are extremely pleased with the progress made in our car product and especially since acquiring Metromile. We've taken tremendous strides forward in 2 key areas. Firstly, in data infrastructure. It was an enormous undertaking, but we are now fully leveraging Metromile's decades worth of data in our machine learning models. Our risk and pricing models rely on this data, which includes claim frequency and severity and customer retention.

好吧，布賴恩，我們對我們的汽車產品取得的進步感到非常高興，尤其是自收購 Metromile 以來。我們在兩個關鍵領域取得了巨大進步。首先，在數據基礎設施方面。這是一項艱鉅的任務，但我們現在正在我們的機器學習模型中充分利用 Metromile 數十年的數據價值。我們的風險和定價模型依賴於這些數據，其中包括索賠頻率和嚴重程度以及客戶保留率。

Secondly, in cost realization. Over the past year, we have achieved tens of millions in annualized cost savings by consolidating Lemonade's and Metromile's management, operations and vendor expenses. We continue to optimize our operations. And once we are able to transition all of Metromile's customers to Lemonade systems, we will unlock even more savings.

其次，在成本實現上。在過去的一年裡，通過整合 Lemonade 和 Metromile 的管理、運營和供應商費用，我們每年節省了數千萬美元的成本。我們繼續優化我們的運營。一旦我們能夠將 Metromile 的所有客戶轉移到 Lemonade 系統，我們將節省更多成本。

In the next question, George asked if path to profitability is management's top priority and if so, to elaborate on the strategy.

在下一個問題中，George 詢問盈利路徑是否是管理層的首要任務，如果是，請詳細說明該戰略。

Certainly, George. Profitability is our top priority, and our updated guidance reflects our commitment to further improving the bottom line. We're focused on 2 key areas: loss ratio and expense ratio. The fact that we're investing in this isn't new, but we're definitely starting to see the results of the hard work by our team.

當然，喬治。盈利能力是我們的首要任務，我們更新的指南反映了我們對進一步提高利潤的承諾。我們專注於兩個關鍵領域：損失率和費用率。我們在這方面投資的事實並不新鮮，但我們肯定開始看到我們團隊辛勤工作的結果。

For loss ratio, we've increased our rate filing significantly compared to prior years. And I'll touch upon that in the next question as well. Our improved LTV models enhance our underwriting and pricing, and our claims technology is becoming more and more efficient. In fact, if you can see in the graph we included in the shareholders' letter, this is delivering a steady and significant quarter-over-quarter improvement in loss ratio.

對於損失率，與往年相比，我們顯著提高了我們的費率備案。我也會在下一個問題中談到這一點。我們改進的 LTV 模型增強了我們的承保和定價，我們的理賠技術也變得越來越高效。事實上，如果你能從我們在股東信中包含的圖表中看到，這將帶來虧損率的穩定和顯著的季度環比改善。

Regarding expense ratio, we're constantly focused on optimizing our operations. For example, removing redundancies of vendors and systems between Metromile and Lemonade. As we continue to automate and add more self-service capabilities using our chatbots and AI, we're starting to see investments in our internal systems pay off with reduced reliance on headcount per policy sold.

關於費用率，我們一直專注於優化我們的運營。例如，刪除 Metromile 和 Lemonade 之間的供應商和系統冗餘。隨著我們繼續使用我們的聊天機器人和人工智能實現自動化並添加更多自助服務功能，我們開始看到對內部系統的投資得到回報，減少了對每份保單售出人數的依賴。

This approach brings us closer to structural completeness. It allows us to dramatically reduce our need for hiring this year. The fact that contributed in part to the updated adjusted EBITDA guidance we are giving today.

這種方法使我們更接近結構完整性。它使我們能夠大幅減少今年的招聘需求。這一事實部分促成了我們今天提供的更新後的調整後 EBITDA 指南。

In the next question, Paper Bag asked about our usage of AI, which I hope I addressed in my previous comments and in the letter.

在下一個問題中，Paper Bag 詢問了我們對 AI 的使用情況，我希望我在之前的評論和信中提到了這一點。

So I'm jumping to your next question, Paper Bag, which is about the progress we're making with our regulatory rate changes.

所以我要跳到你的下一個問題，紙袋，這是關於我們在監管利率變化方面取得的進展。

Thanks for this question, Paper Bag. Regulatory approvals are a significant factor in ensuring where pricing customers precisely and play a major role in our downward trending loss ratio. But as discussed extensively in previous quarters, the process of getting rate changes approved can take time, but we're seeing some strong signs that our increasing pace of rate filings is paying off.

感謝這個問題，紙袋。監管批准是確保准確為客戶定價的重要因素，並在我們下降趨勢的損失率中發揮重要作用。但正如前幾個季度廣泛討論的那樣，批准利率變更的過程可能需要時間，但我們看到一些強有力的跡象表明，我們加快利率申請步伐正在取得成效。

In Q1 this year, we filed 30% more rate changes than in the same quarter last year, while 55% more filings were approved in comparison to Q1 '22. In fact, more than 50% of our earned premium in our book today for our home and pet customers is using the need rates.

今年第一季度，我們提交的費率變更比去年同期多 30%，而與 22 年第一季度相比，批准的申請多了 55%。事實上，我們今天為我們的家庭和寵物客戶賺取的保費中，超過 50% 使用的是需求率。

Take for example, our pet product. Last year, new rates were approved and implemented in 30 states across the country, impacting more than 50% of active pet policies. This year, pet loss ratio saw a 9.5 points of improvement, all in the season typically known for its higher frequency of pet claims. This major reduction in loss ratio can be attributed to price accuracy rate changes that were earned in.

以我們的寵物產品為例。去年，全國 30 個州批准並實施了新費率，影響了 50% 以上的有效寵物政策。今年，寵物損失率提高了 9.5 個百分點，這一切都發生在通常以寵物索賠頻率較高而聞名的季節。損失率的大幅下降可歸因於所賺取的價格準確率變化。

Overall, our rate changes, coupled with our improving technology to price risk correctly, put us on track to continue to reduce our loss ratio across the book.

總的來說，我們的利率變化，加上我們改進的技術以正確定價風險，使我們走上了繼續降低賬面損失率的軌道。

In any event, though, do bear in mind that even once rates are approved and implemented, their impact still has a time line. New rates flow in one policy at a time on renewal. This means that it can take up to a year for the full impact to register on our loss ratio.

但無論如何，請記住，即使利率獲得批准和實施，它們的影響仍然有時間限制。更新時，新利率一次流入一項政策。這意味著最多可能需要一年的時間才能在我們的損失率上登記全部影響。

Turning to Amandeep, who asked about SoftBank seemingly exiting their Lemonade position.

轉向 Amandeep，他問到軟銀似乎退出了他們的 Lemonade 職位。

Actually, SoftBank has not exited its position as far as we are aware. What you're probably referring to is our recent SEC filing triggered by a change in regulatory compliance structure put in place a few years ago. For some more context, several years ago, we put into effect the regulatory compliance structure called the JIC, which was required by our New York regulator in order to deal with SoftBank's 20% ownership of Lemonade.

實際上，據我們所知，軟銀並未退出其立場。您可能指的是我們最近提交給美國證券交易委員會的文件，這是由於幾年前實施的監管合規結構發生變化而引發的。對於更多背景，幾年前，我們實施了稱為 JIC 的監管合規結構，這是紐約監管機構要求的，以處理軟銀對 Lemonade 20% 的所有權。

Now that SoftBank ownership has decreased below 20%, by the way not due to share sales, but actually due to dilution, the structure is no longer needed and was dissolved as of March 31. The SEC filing was solely to reflect that this entity was dissolved.

現在 SoftBank 的所有權已降至 20% 以下，順便說一下，這不是由於股票出售，而是由於稀釋，因此不再需要該結構並於 3 月 31 日解散。美國證券交易委員會的備案只是為了反映該實體是溶解。

And with that, let me hand over the call to the operator so we can take some questions from our friends on the Street.

說到這裡，讓我把電話轉給接線員，這樣我們就可以回答街上朋友的一些問題。

(Operator Instructions) Your first question comes from the line of Yaron Kinar.

（操作員說明）您的第一個問題來自 Yaron Kinar。

I guess my first question, just looking at the growth that you achieved this quarter and I think you even called out (inaudible). It was better than you expected and then didn't quite meet the expectation of -- or the ability to slow down. I guess one, what actions are you taking now to better execute on the slowing growth?

我想我的第一個問題，只是看看你本季度實現的增長，我想你甚至喊出了（聽不清）。它比你預期的要好，但並沒有完全達到預期——或者減速的能力。我猜一個，你現在採取什麼行動來更好地應對增長放緩？

And does the stronger growth that you saw this quarter potentially risk the loss ratio improvement targets? Or in other words, are you confident that you're not getting selected against here with these wins when other insurers are also trying to hold growth?

您在本季度看到的更強勁增長是否有可能使損失率改善目標面臨風險？或者換句話說，當其他保險公司也在努力保持增長時，您是否相信您不會因這些勝利而被選中？

Yaron, good to talk to you, Daniel here. Yes, we spoke about this slowdown. As a maneuver, we've not quite mastered yet somewhat tongue in cheek. Tim referenced earlier that we saw a significant improvement in our marketing efficiencies. So for every dollar that we spent, we got 12% more sales than we had planned. And therefore, all of our sales are kind of ahead of plan. But no, it doesn't impact the loss ratio plans that we have.

Yaron，很高興和你交談，這裡是 Daniel。是的，我們談到了這種放緩。作為一種策略，我們還沒有完全掌握，但有點開玩笑。 Tim 之前提到我們的營銷效率有了顯著提高。因此，我們每花一美元，銷售額就會比計劃高出 12%。因此，我們所有的銷售都超出了計劃。但不，它不會影響我們的損失率計劃。

What it does mean is that we are earning in dollars at a suboptimal loss ratio. So just it just means that these sales will not be as profitable as if they were made 6 months hence. But we do not anticipate that adversely affecting the progress or introducing adverse selection against us.

它的意思是我們以次優損失率賺取美元。所以這只是意味著這些銷售不會像 6 個月後的銷售那樣有利可圖。但我們預計這不會對進展產生不利影響或引入對我們不利的選擇。

Got it. And then maybe a clarification on the guidance. Are any expected changes in the reinsurance program or in reinsurance costs factored into the updated guidance? And if not, maybe you could offer your expectations on the impact from those?

知道了。然後可能對指南進行澄清。更新後的指南中是否考慮了再保險計劃或再保險成本的任何預期變化？如果沒有，也許你可以提出你對這些影響的期望？

Yes. Great question. So this is an area where I would note that we've made a modest shift in how we put the guidance together by choice and by design. So the last couple of quarters, as we've noted, we have a reinsurance structure that's almost entirely renewing at July 1. This is something we've known about for some time and have been working actively on.

是的。很好的問題。因此，我要指出的是，我們在通過選擇和設計將指南放在一起的方式上做出了適度的轉變。因此，正如我們所指出的那樣，在過去的幾個季度中，我們的再保險結構幾乎在 7 月 1 日完全更新。這是我們已經知道了一段時間並且一直在積極努力的事情。

Things are going well. But as we noted in the letter, we won't be sharing the details until we have them in stone, which will be over the coming couple of months.

事情進展順利。但正如我們在信中指出的那樣，在我們確定細節之前，我們不會分享細節，這將在未來幾個月內完成。

In terms of the guidance, the previous guidance assumes that our existing reinsurance structures would continue in place that we knew that it was likely that they might change. Our current guidance anticipates nearly all the outcomes that we think are reasonably likely.

就指南而言，之前的指南假設我們現有的再保險結構將繼續存在，我們知道它們可能會發生變化。我們目前的指導意見幾乎預測了我們認為合理可能的所有結果。

We don't know the exact terms, but we've factored in, call it, the 80% or 90% probability range of what the outcomes will likely be and factored that into our guidance. It won't be perfect, but it will be -- we're quite comfortable that it represents where we expect to be when those deals are inked shortly.

我們不知道確切的術語，但我們已經考慮到，稱之為結果的 80% 或 90% 的概率範圍，並將其納入我們的指導方針。它不會是完美的，但它會是——我們很高興它代表了我們在短期內簽署這些交易時所期望的狀態。

Your next question comes from Jason Helfstein.

你的下一個問題來自 Jason Helfstein。

Two questions. The first, can you talk, I guess, at a high level, if you embraced more of a kind of a (inaudible) or a captive structure that some others in the insurtech industry are thinking about some private companies have been doing. How that potentially impacts kind of reported financial results and if that potentially goes to address, what are kind of underlying strain, but then ends up being offset by kind of CAT and other noise?

兩個問題。首先，我想，如果您更多地接受保險科技行業的其他一些人正在考慮的一些私營公司一直在做的一種（聽不清）或專屬結構，你能不能在高層次上談談。這對報告的財務結果有何潛在影響？如果這有可能解決，潛在的壓力是什麼，但最終會被 CAT 和其他噪音所抵消？

And then the second question I mean, right now, you basically have a buyer strike, right? The stock is trading kind of give or take a cash kind of in the market, I'm putting any kind of multiple even on the gross profit and because you have insurance investors who want profitability and you want -- have tech investors who basically either don't want decelerating growth or don't want to take the time to understand the complexity of insurance and accounting. So maybe even if you want to merge those 2 questions together, how do you think you kind of address that broadly?

然後第二個問題，我的意思是，現在，你基本上有買家罷工，對吧？這隻股票在市場上交易某種形式的現金，我什至在毛利潤上投入了任何一種倍數，因為你有想要盈利的保險投資者，而你想要 - 有科技投資者，他們基本上要么不想減速增長或不想花時間了解保險和會計的複雜性。所以也許即使你想將這兩個問題合併在一起，你認為你如何廣泛地解決這個問題？

So I'll take the first one. We don't -- again, we don't want to get too far ahead of ourselves and talk about terms that are not in place yet. That said, a captive structure is something we've thought about and designed as a potential option going forward. You shared some details on how we are thinking about that at our Investor Day.

所以我會拿第一個。我們不想——再說一次，我們不想過於超前談論尚未到位的條款。也就是說，俘虜結構是我們考慮過並設計為未來潛在選擇的東西。您在我們的投資者日分享了一些關於我們如何思考的細節。

And I anticipate that will be part of the mix. I would expect that we'll retain more risk perhaps than we have previously. I expect we'll leverage a captive where and how that makes sense.

我預計這將成為其中的一部分。我預計我們可能會比以前保留更多的風險。我希望我們會在有意義的地方以及如何利用俘虜。

And I think no, we don't have final terms. I wouldn't be surprised that there is some aspect of (inaudible) that continues. So I believe it will be a combination of those things, and we'll figure out the proportions that makes sense, and we have factored the likely outcomes into our guidance.

我認為不，我們沒有最終條款。我不會對（聽不清）的某些方面繼續存在感到驚訝。所以我相信這將是這些事情的結合，我們將找出合理的比例，並且我們已將可能的結果納入我們的指導方針。

So we're down that path, and we're looking forward to update when we have the hard facts.

所以我們沿著這條路走下去，我們期待著在我們掌握確鑿的事實時進行更新。

In terms of a buyer strike, I'll let you characterize the market as the expert. But I think what I would point folks to who are holders of our shares, we're considering holding our shares, who might be on strike or not, depending on how you think about it, to the key metrics.

就買家罷工而言，我會讓您將市場描述為專家。但我想我會向人們指出誰是我們的股份持有人，我們正在考慮持有我們的股份，他們可能罷工與否，這取決於你如何看待關鍵指標。

And I think this is the second quarter in a row where on the 3 primary pillars of progress we delivered significant improvement in loss ratio, strip away to CAT and it's more significant still. Second quarter in a row of significant improvement on the operating expense ratios. The 3 or 4 quarters before, we saw a -- I'm sorry, 3 quarters before versus the most recent 2 quarters, something like a 20-point improvement in the ratio of expenses to gross earned premium.

我認為這是連續第二個季度，我們在 3 個主要進展支柱上實現了損失率的顯著改善，剝離 CAT，它仍然更重要。營業費用比率連續第二個季度顯著改善。之前的 3 或 4 個季度，我們看到了 - 抱歉，3 個季度之前與最近的 2 個季度相比，費用與總收入保費之比提高了 20 個百分點。

And then the guidance, I think, kind of cements the fact that we believe that this is not a decent anomaly, but these are and trends, but we have some real confidence will continue. So loss ratio, marketing efficiency, operating expense efficiency, those are the 3 primary metrics, I tell you, we are on track. We're not satisfied. We're 1 quarter into the year.

然後，我認為該指南鞏固了一個事實，即我們認為這不是一個體面的異常，但這些都是趨勢，但我們有一些真正的信心會繼續下去。所以損失率、營銷效率、運營費用效率，這是 3 個主要指標，我告訴你，我們正在走上正軌。我們不滿意。今年已經過去四分之一了。

And I think the notable adjustment in guidance tells you that not only is the business performing but we're taking this very seriously. And I hope that we have communicated that we're very well aligned with folks who are either holders or potential holders of our stock.

而且我認為指導的顯著調整告訴你，不僅業務表現良好，而且我們非常重視這一點。我希望我們已經傳達了我們與持有或潛在持有我們股票的人非常一致。

Our next question comes from Tommy McJoynt.

我們的下一個問題來自 Tommy McJoynt。

Going back to the sales and marketing expense front, it looks like the last 2 quarters, the range has been about $25 million to $30 million per quarter. Is that what you expect it to be for kind of the run rate for the foreseeable future? And if you could also comment to the extent that you're not really focused on adding new customers, is there an opportunity to lower that amount even more as you focus on just marketing second and third products to existing customers presumably at a much lower cost in terms of the form of advertising since they're already Lemonade customers?

回到銷售和營銷費用方面，看起來過去兩個季度，每個季度的範圍約為 2500 萬至 3000 萬美元。在可預見的未來，這就是您期望的運行率嗎？如果你還可以評論說你並沒有真正專注於增加新客戶，那麼是否有機會進一步降低這個數量，因為你只專注於以更低的成本向現有客戶營銷第二和第三種產品就廣告形式而言，因為他們已經是 Lemonade 客戶了？

Yes. So I think what you saw in the year-on-year comparison exactly what you're referring to, which is an ability to deploy fewer absolute dollars, which is part of our choice to grow at a somewhat more modest pace, but each dollar going further. And that's something where we do have that lever to pull. I think in Q1, you saw some of the momentum in our growth efficiency where we lowered the spend and yet we're able to perform at or better than our expectations.

是的。所以我認為你在同比比較中看到的正是你所指的，這是部署更少絕對美元的能力，這是我們選擇以更適度的速度增長的一部分，但每一美元走得更遠。這就是我們確實有槓桿可以拉動的地方。我認為在第一季度，你看到了我們降低支出的增長效率的一些勢頭，但我們的表現能夠達到或超過我們的預期。

And so that's something where we can pull that lever and it happens. It doesn't happen overnight, but it happens reasonably quickly. In terms of the sales and marketing line, I would expect if you kind of roll our guidance forward for the year, I would expect that our expense lines to be roughly in a similar ratio as you saw in Q4 and Q1 relative to each other. And sales and marketing included.

所以這就是我們可以拉動槓桿並發生的事情。它不會在一夜之間發生，但它發生得相當快。就銷售和營銷線而言，我希望如果您將我們今年的指導向前推進，我希望我們的費用線與您在第四季度和第一季度看到的相對比例大致相似。包括銷售和營銷。

Within sales and marketing is, of course, the growth spend, which is the highly variable portion of that line item. And in the past that growth spend has typically been in the 65% or maybe 70% of that sales and marketing bucket range. This quarter, it was about 60%. And so that gives you the sort of a feel for how we're managing that line item.

在銷售和營銷中，當然是增長支出，這是該訂單項中高度可變的部分。過去，增長支出通常佔銷售和營銷範圍的 65% 或 70%。本季度，這一比例約為 60%。因此，這讓您對我們如何管理該訂單項有一種感覺。

Couldn't we reduce it more? We certainly can, but what we anticipate in the guidance is that we kind of like this run rate. We like the progress towards profitability in the expense efficiency and the guidance implies that it will be fairly steady with what you saw in Q1.

我們不能減少它嗎？我們當然可以，但我們在指南中預期的是我們有點喜歡這個運行率。我們喜歡費用效率在盈利能力方面取得的進展，該指導暗示它將與您在第一季度看到的情況相當穩定。

Got it. And then just on a separate topic. It looks like you guys are picking up a little bit more yield on the investment portfolio. Is kind of the yield that we saw in the first quarter kind of where we should expect it to be going forward? Or is there an opportunity to pick up even more yield on that cash and investment balance?

知道了。然後只是關於一個單獨的主題。看起來你們在投資組合上獲得了更多的收益。我們在第一季度看到的收益率是我們應該預期的那種收益率嗎？或者是否有機會從現金和投資餘額中獲得更多收益？

Yes. So that's a line item we're never satisfied. You can see the progress there. But of course, the market rate appears higher. There's a little bit of a lag because we're heavily invested and you don't want to make those moves too quickly because it does cost you something in the short term. But I'm hopeful that we can keep pushing that up and get a higher yield over time. I wouldn't layer in too much there yet, but that is a goal that we want to get that as close to market rates as we can.

是的。所以這是一個我們永遠不會滿意的項目。你可以在那裡看到進展。但當然，市場利率似乎更高。有一點滯後，因為我們投入了大量資金，你不想太快採取這些行動，因為它確實會在短期內讓你付出一些代價。但我希望我們能夠繼續推動它並隨著時間的推移獲得更高的收益。我不會在那裡過多地分層，但這是我們希望盡可能接近市場利率的目標。

Your next question comes from the line of Josh Shanker.

你的下一個問題來自 Josh Shanker。

Yes. The holy grail for everybody is trying to figure out what the loss ratios are by the product. I know that you're not going to tell us that on this call. But can we talk about a relative relationship as you're not able to slow the growth as much as you want between the lines of business with healthy loss ratios and the ones that are nonetheless growing, even though it's not your goal?

是的。每個人的聖杯都是試圖找出產品的損失率。我知道你不會在這次電話會議上告訴我們這些。但是，我們是否可以談論一種相對關係，因為您無法在具有健康損失率的業務線和仍在增長的業務線之間盡可能地減緩增長，即使這不是您的目標？

I mean we see what's happening in auto insurance and it's very hard for anyone to make a profit here. That would be the area that would be easiest to slow, but probably have the highest loss ratio. Do you have a -- can you talk about relation between the areas that you're growing in, whether you're trying to or not and what the loss ratios are for those various products?

我的意思是我們看到汽車保險正在發生什麼，任何人都很難在這裡獲利。那將是最容易減速的區域，但可能具有最高的損失率。你有沒有 - 你能談談你正在成長的領域之間的關係，無論你是否嘗試以及這些不同產品的損失率是多少？

Yes. I would recharacterize the description of us being unable to slow. We're able to slow. In Q1, things held stable when we gave our guidance and we have our own expectations. We don't assume that everything will go right or that every trend will continue forever. And I think what we saw in Q1 is a lot of things went right. Very few surprises other than a higher CAT rate, which also in insurance is not necessarily a surprise.

是的。我會重新描述我們無法減速的描述。我們可以放慢速度。在第一季度，當我們給出指導並且我們有自己的期望時，情況保持穩定。我們不認為一切都會順利，或者每個趨勢都會永遠持續下去。而且我認為我們在第一季度看到的是很多事情都進展順利。除了更高的 CAT 率外，很少有驚喜，這在保險中也不一定是驚喜。

And so we were somewhat ahead. So I think our ability to adjust the growth rate, incremental customers, incremental premium is very much in our hands and really a marginal effect where it was a little faster, a little slower. So I would characterize it more that way.

所以我們有點領先。因此，我認為我們調整增長率、增量客戶、增量保費的能力在很大程度上掌握在我們手中，而且在快一點、慢一點的地方確實有邊際效應。所以我會用這種方式來描述它。

In terms of a more aggressive approach to managing the book of business and the relative loss ratios. To date, we've been -- we've not chosen to sort of shrink to excellence strategy. That is something that exists in insurance. Our retention rates are quite high, but we do really closely focus on net new customer acquisitions. And what you saw in Q1, especially, we shared a chart where we strip out the CAT impact in the quarter, what you saw is concrete effects of the filings we made starting to take effect.

在管理業務賬簿和相對損失率方面採用更積極的方法。迄今為止，我們一直 - 我們沒有選擇縮小到卓越戰略。那是保險中存在的東西。我們的保留率相當高，但我們確實非常關注淨新客戶的獲取。你在第一季度看到的，特別是我們分享了一張圖表，我們在該圖表中剔除了 CAT 在該季度的影響，你看到的是我們提交的文件開始生效的具體影響。

So the trends we saw last year in terms of our filings and approvals are now earning their way into the book of business. And so we're not -- we don't love higher loss ratios. We're not so troubled by them because we can see that forward trend. If you look at Q1, which you can't see externally yet, that pattern continues.

因此，我們去年在申請和批准方面看到的趨勢現在正在進入商業賬簿。所以我們不是——我們不喜歡更高的損失率。我們並沒有那麼為他們所困擾，因為我們可以看到這種前進趨勢。如果你看看 Q1，你還不能從外部看到它，這種模式會繼續。

Many filings in many large states with very aggressive price increases, but fair price increases that will work their way into the book over the coming year. And that's -- if you think about path to profit and the loss ratios kind of critical part of that, that filing and earning in aspect is something that we spend a great deal of time on, and it's going well.

許多大州的許多申請都非常積極地提價，但公平的提價將在來年進入賬簿。那就是——如果你考慮盈利的途徑和其中的關鍵部分損失率，那麼在這方面的備案和盈利是我們花費大量時間的事情，而且進展順利。

Sorry, Josh. I'll just add, we spoke and demonstrated this visually during our Investor Day back in November as well. And in the opening comments, I referred to LTV6 and LTV7 and LTV8. We've been -- already in November, but we've been further integrating these technologies into our growth engine, which is to say that every advertising campaign down to the particular Google ad words, the geographic focus, et cetera, is prioritized based on these algorithms, which is to say that we put $0 against products, geographies or customers that we think will not be a net contributor to our gross profit.

對不起，喬希。我只是補充一點，我們也在 11 月的投資者日期間進行了演講並以視覺方式展示了這一點。在開頭的評論中，我提到了 LTV6、LTV7 和 LTV8。我們已經 - 已經在 11 月，但我們一直在進一步將這些技術整合到我們的增長引擎中，也就是說，每個廣告活動都基於特定的 Google 廣告詞、地理重點等進行優先排序在這些算法上，也就是說，我們將 0 美元用於我們認為不會對我們的毛利潤產生淨貢獻的產品、地區或客戶。

And that's working well. It was working back then. It's just getting better and smarter. And in fact, during the Investor Day, we shared some predictive loss ratios, and we're auditing ourselves and performing very well relative to those predictions as well. So our confidence keeps growing in that regard.

這運作良好。那時它正在工作。它只是變得更好，更聰明。事實上，在投資者日期間，我們分享了一些預測損失率，我們正在審計自己，並且相對於這些預測也表現得非常好。因此，我們在這方面的信心不斷增強。

So the short answer to your question is, yes, our growth is targeted not merely at products with good loss ratio, but at customers with good loss ratios, at geographies with good ratios, et cetera. And not merely near-term Q1 loss ratios, but lifetime loss ratios, a lot of intelligence goes into that.

所以對你的問題的簡短回答是，是的，我們的增長不僅針對具有良好損失率的產品，而且針對具有良好損失率的客戶，具有良好比率的地區等等。不僅是近期的第一季度損失率，還有整個生命週期的損失率，很多情報都涉及到這一點。

Renters is a fairly low capital consumption sort of business and while we don't have your loss ratios, I assume they're attractive enough that adding renters customers is additive to the portfolio at this point. Is there any restriction? Are you happy to add as many renters customers do you (inaudible) your hands at this point? Or would that be managed as well?

租房者是一種資本消耗相當低的業務，雖然我們沒有您的損失率，但我認為它們具有足夠的吸引力，以至於在這一點上增加租房者客戶可以增加投資組合。有什麼限制嗎？在這一點上，您是否樂意添加盡可能多的租客客戶（聽不清）？還是也會對其進行管理？

We welcome all renters. We're growing that business -- your assumption is absolutely correct. It's a very profitable book, and we're able to offer great product and target customers who are profitable. So the short answer to your question is yes.

我們歡迎所有租房者。我們正在發展這項業務——你的假設是絕對正確的。這是一本非常有利可圖的書，我們能夠提供優質的產品並瞄準有利可圖的客戶。所以對你的問題的簡短回答是肯定的。

I'll just make a comment. Thank you for the catastrophe loss ratio disclosure. I think it does a great story for you guys. It would be fantastic if you want to give us the historical data so we could put them to our models.

我只是發表評論。感謝您披露巨災損失率。我認為這對你們來說是一個很棒的故事。如果您想向我們提供歷史數據，以便我們將它們放入我們的模型中，那就太好了。

We'll take that into account. Glad, that's helpful.

我們會考慮到這一點。很高興，這很有幫助。