Category: Insurtech · Reviewed by Simon Temme, Account Executive · Last reviewed 2026-06-05
Root, Inc. is a US-headquartered motor insurance insurtech founded in 2015 in Columbus, Ohio, by Alex Timm and Dan Manges. Listed on NASDAQ under the ticker ROOT since October 2020, it pioneered the smartphone-only telematics-led underwriting model in US motor insurance — measuring driving behaviour during a “test drive” period before issuing a quote.
Category: Insurtech Also known as: Root, Root Inc Established: 2015 Related concepts: Insurtech, Telematics insurance, Usage-based insurance
Root operates a smartphone-app-led motor insurance model in which prospective customers download the Root app and complete a “test drive” period (typically 2-3 weeks) during which the app passively measures driving behaviour. At the end of the test drive, the customer is offered a personalised quote based on driving score and conventional rating variables. The thesis is that good drivers are over-charged in traditional motor underwriting and that smartphone telematics provides a cheaper, more accurate proxy for risk than traditional variables.
Root operates through Root Insurance Company, a US-licensed insurer. It is admitted in multiple US states and regulated on a state-by-state basis (see US state-based insurance regulation). Root is incorporated in Delaware and headquartered in Columbus, Ohio. It does not operate in the United Kingdom.
A typical Root customer journey: download app, provide initial declared variables, complete 2-3 week test drive (the app records trips automatically when motion is detected), receive personalised quote at end of test drive based on driving score, optionally bind the policy. Existing customers continue to be monitored, with renewal pricing adjusted by behaviour. Claims processes use a combination of digital first-notice-of-loss workflow and human handling.
Root has experimented with a number of distribution and partnership models including embedded distribution through Carvana (Texas Mutual / Carvana partnership) and various pivots in product mix. The smartphone-only telematics approach distinguishes Root from traditional black-box telematics insurers such as Progressive’s Snapshot programme.
A 28-year-old driver in Ohio: completes a 21-day test drive measuring 18 trips; receives a driving score of 84/100; is offered a 6-month motor insurance premium of $620, materially lower than the traditional-underwriting average for that demographic.
This entry is part of the Apex Insurance Wiki. Last reviewed by Matt Bartlett on 2026-06-05. Next review: 2026-12-05.
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