Group: Geico Insurance Rates 'Very Unfair'

reuters ^ | 3/20/06

[jigsaw]

ROTFL!!!!!   Thanks for the visual.   That'd be a great campaign photo.

[Doohickey]

All other insurance carriers didn't suddenly go belly-up, did they? Is GEICO a monopoly now?

I heard that they also *gasp* use age and driving history as weighing criteria too! The cads!

[Lx]

I used to have Geico until 21st beat them. Geico, on a whole was a great company to deal with but they couldn't beat 21st and they even said so.

[Doohickey]

I think GEICO's service is excellent as well. In two accidents in the past year that were not my fault, GEICO gave me the option of settling with the other driver's insurance myself, or letting them handle it. The choice is was obvious, and in both cases I got a check for my deductible back within a month.

[.cnI redruM]

Exactly. People that tell Gieco how to prepare it's actuary tables ought to be legally required to pay 10% of the cost every time Gieco gets made to eat a claim and receive 10% of the proceeds when Gieco gets a premium. Run this experiment for about a year, and they will be much more interested in having the math guys, not the "social justice" advocates do up the actuary tables.

[Spirochete]

Most likely, people with high credit scores are more likely to pay middling damages out of pocket rather than submit claims

People with higher deductibles are. I'm still unconvinced about the fairness of using credit scores in the auto insurance rate calculation.

[.cnI redruM]

Credit scores are partially dependent on individual judgment and decision making. So is driving. I see no problem with it from a logic standpoint.

[Flash Bazbeaux]

"What crime would I be commiting IF I LIED about my education on a Geico application?"

Since insurance is usually regulated by the states [McCarran-Ferguson act], it probably wouldn't be a federal crime. The problem is when you try to collect, and they use your false statement as a basis for denying your claim.

"I doubt that they can verify your education claims."

Well of course they can't verify your education claims if they are false. They could prove them false, though. The real question is whether they would bother. If they did, the truth would come out real fast.

[sully777]

If you want to continue having a good relationship with your insurer, you'd better let them know of any modifications, such a being a mobile DJ mobile

[arizonarachel]

It's the law of large numbers, people! Every insurance company uses these rating factors, no matter what they say. If the actuaries find that people with Bachelor's degrees get into less accidents and get less tickets than someone with a high school education - guess what?!? They're getting lower rates. That's life. (I'm an insurance sales agent for one of the biggest companies in the world, so yes, I know what I'm talking about!)

[flada]

A product whose purchase is mandated by the government is hardly an example of capitalism.

[January24th]

Heh. Wouldn't that include your "good student" discount, State Farm, Allstate policyholders with teenagers?

[Psycho_Bunny]

As bad as their commercials are, they aren't blatantly insulting and sexist like Progressive.

[sully777]

Same ad agency. Similar idea. Word has it (perhaps urban legend), the brainchilds for Taco Bell's ad came up with the idea at the end of their wits. They were sitting at a cafe and they saw a chihuahua walk by. The rest is history.

PS. They left Taco Bell and demanded that they have full rights to the animal. It is illegal for Taco Bell to show the chihuahua in any form.

[Spiff]

Why should low risk drivers subsidize the insurance of high risk drivers?

[Old Professer]

Pay attention to the subtleties in the gecko's body language.

[Old Professer]

Geico will call you back and make sure the repairs were done satisfactorily.

[Busywhiskers]

I just saved $1,200 and also had Farmers.

[Busywhiskers]

What crime would I be commiting IF I LIED about my education on a Geico application?


Fraud

[billbears]

Well I called out of curiousity. They only offer liability for motorcycle insurance here in NC. Which sort of defeats the main purpose for motorcycle insurance if you ask me.