Within months of announcing a $40 million funding round, Honeycomb's largest product expansion to date brings its technology-driven underwriting platform to well-managed office and retail properties, giving agents a faster, more efficient way to insure ‘LRO' properties and marking the company's next step toward becoming a one-stop shop for commercial real estate insurance
CHICAGO, IL / ACCESS Newswire / August 25, 2026 / Honeycomb Insurance, a fast-growing digital insurer that has specialized in landlord and condominium associations, announced the launch of its Lessor's Risk Only (LRO) insurance program, expanding into a commercial lessor-only segment for the first time. Following its recent $40 million funding round, Honeycomb went live with LRO in Minnesota, Colorado, Arizona, and North Carolina in the past month, with more of Honeycomb's active state footprint to follow.
It is the company's largest addressable market expansion to date. The expansion marks Honeycomb's next step toward becoming a one-stop shop for commercial real estate insurance. Since launching with admitted apartment and condominium association coverage, Honeycomb has steadily expanded its platform to include single-family rentals, E&S, excess liability, flood coverage, higher total insured values per property, and now Lessor's Risk Only (LRO) insurance. The new program extends Honeycomb's technology-driven underwriting platform to well-managed office and retail properties, with commercial condominium associations, light warehouses, and industrial classes expected to follow.
Commercial property owners have increasingly faced limited carrier options, broad underwriting restrictions, and pricing models that often fail to distinguish between well-managed buildings and higher-risk properties. Honeycomb's technology-powered precision-underwriting platform evaluates each property on its own merits, using more property data than traditional carriers and avoiding blanket age restrictions or other broad eligibility rules.
Fully integrated into Honeycomb's digital platform, the company's proprietary underwriting engine evaluates every commercial property individually rather than relying on broad eligibility rules. Every submission undergoes a sophisticated, proprietary property inspection and multi-factor risk assessment, enabling accurate pricing based on each building's unique characteristics. As a result, well-maintained properties receive the competitive premiums they deserve, while older buildings are never automatically declined based solely on year built.
At launch, the program is available on an admitted basis for office and retail properties with building values up to $25 million. Target occupancies include professional services firms such as legal, accounting, medical, dental, real estate, and financial services offices, as well as general retail, restaurants, salons and spas, coffee shops and cafés, small grocery, and boutique fitness studios. The program maintains a selective approach to occupancy, ensuring consistent underwriting quality across the portfolio. Honeycomb plans to add E&S and higher-value properties in the upcoming months.
"Expanding into office and retail, and subsequently industrial and warehouse, was always the vision for Honeycomb," said Itai Ben-Zaken, Co-Founder and CEO of Honeycomb Insurance. "The same AI-native underwriting engine that has enabled us to build a profitable habitational business now allows us to bring fast, accurate property-level pricing and eligibility to more segments. By evaluating every property on its own merits, we're able to reward well-managed buildings with the competitive pricing they deserve while maintaining the underwriting discipline that has always been central to our approach. This is a huge step toward realizing our potential as the first-stop, single-stop shop for commercial real estate insurance."
The launch further expands Honeycomb's commercial insurance platform as the company continues investing in new products and markets. Honeycomb now covers approximately $150 billion in insured assets across 24 states, covering over 70% of the US population, with continued expansion planned throughout the year.
About Honeycomb Insurance:
Honeycomb Insurance is a deep-tech property and casualty digital insurer specializing in commercial real estate insurance, providing tailored coverage for landlords, condominium associations, and commercial properties. Built by insurance and real estate veterans, the company leverages proprietary technology to deliver custom underwriting and competitive pricing for properties that traditional carriers often overlook. Honeycomb's platform eliminates the need for physical inspections and supports admitted and non-admitted products across 24 states, covering over 70% of the US population. Headquartered in Chicago, with offices in the U.S. and Israel, Honeycomb manages approximately $150 billion in insured assets.
Contact Information:
Ofir Zimber
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SOURCE: Honeycomb
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