Root Insurance Company provides car insurance to drivers in 30 U.S. states. Root requires drivers to download their mobile app and perform test driving for several weeks while the app monitors the driving behavior in the background. If the driver passes the driving test, they are offered a premium which is based in part on the driving score calculated during the test drive. Root advertises that they only insure good drivers in order to keep premiums lower than other insurance companies.
Root offers a discount to Tesla owners who drive using Autosteer mode, making them the first insurance company to adjust premiums based on whether the driver is operating a semi-autonomous vehicle.
Root was founded in March 2015. In 2018, Root became the first insurance tech startup outside the health-care sector to achieve unicorn status.
On September 9, 2019, Root announced their Series E funding round of $350 million on a $3.6 billion valuation. The round was led by DST Global and Coatue Management.