Geico vs. Progressive

[temperflare]

It saves me roughly $350/year on each car. So in 15 years it has saved me roughly $10,500. I would have had to have 21 accidents in 15 years to justify the extra cost. I don't know how that's not cost effective?

I'm not saying what you are doing is wrong, not by any means. I am surprised that not having any accidents in 15 years means a difference of 350 a year in comp coverage between a 500 and 1000 deductible. It is usually much less than that in premium difference (from my experience), which I would estimate at being around 120 a year difference between the two deductibles (per car - again, based on my experience in the industry).

Obviously, if you have an excellent driving history and/or can self insure for the deductible then carrying high deductibles is an excellent choice. Not a lot of people can say that, thus the difference in premium from 500 to 1000 is typically minimal for those people.

 

[JPOP]

Insurance up for renewal. Been with Progressive for several years but got a better quote from Geico and I see their customer satisfaction ratings are higher (both Consumer Reports and JD Power).

Anyone have any strong feelings either way?

Let me ask you? Would buy an engagement ring at walmart. Buy insurance from a professional!

 

[cytech]

I've researched my own coverage needs so a low quote is not being pushed on me by an agent. I know exactly what I'm looking for thanks to the outstanding education I received in finance from THE Iowa State University.

No offense to any agents on the board or to anyone who suggests it as the way to go, but I'm simply not interested for a couple reasons. First, I don't like people very much, least of all salespeople. I'd much rather get online and submit a claim when necessary than call and talk to somebody on the phone. Second, as I recently found out with my satellite install experience I posted on extensively, I see an agent as an unnecessary layer of potential incompetence. Again, no offense intended, just one man's opinion.

To the other person who posted regarding deductibles, I have also saved thousands over the years by selecting high deductibles. I want insurance for one reason only: to replace my car in the event of a catastrophic accident. I don't want insurance paying to fix door dings. I've never understood people who pay hundreds of extra dollars per year so they can have a $250 deductible vs. a $1000 deductible. Makes no sense whatsoever.

I'm surprised to read some people's comments about Progressive being expensive. I think "Progressive" and "expensive" are two words I've never seen in the same sentence together.

I find that my local agent is much better on price when combining with other services. Geico and Progressive can't touch the rates I am paying now.

 

[Cyclonestate78]

State Farm said they could save me 11 dollars a year. Thanks SF.

You must have the cheapest insurance premiums ever. State Farm can save you up to 40% and your total savings was only $11 a year? Impressive.

 

[temperflare]

I find that my local agent is much better on price when combining with other services. Geico and Progressive can't touch the rates I am paying now.

Excellent point. You typically save about 10% off your auto with a multi-policy discount and about 20-30% off your homeowners with that same discount. Other products like RV, Motorcycle, Boat, etc. bundled together usually mean additional discounts.

Geico and Progressive typically "farm out" other products like property.

Judge a company by how they handle claims, which is the entire reason you are purchasing insurance anyway.

Here's a thought: Call one of the larger collision repair centers in town (i.e. Karl Chevrolet) and ask them who they consider to be a good company to work with. Those places can tell you a lot about how a particular company handles its claims.

 

[CarolinaCy]

We switched our auto coverage to Geico about a year ago because it was roughly 30-35% cheaper for the same coverage than Farm Bureau. Quotes from all the big names (State Farm, Nationwide, etc.) were all about the same as FB. Progressive was roughly the same as Geico.

 

[CarolinaCy]

Geico and Progressive typically "farm out" other products like property.

I believe to the same place, Homesite Indemnity Company.

 

[temperflare]

Another tidbit... getting a quote 8-10 days before you need coverage to start typically saves you about 10% for the first year.

 

[cyclonespiker33]

I'm not a fan of Geico, they need to pick their identity and stick with it... The Gecko, Cavemen, Geico Question Guy

They are like the weird girl in school that changes her look every other week

 

[Knownothing]

The premium difference between a 500 and 1000 comprehensive deductible is very small. Obviously, if you've never filed a claim then it works out for you. However, I suggest carrying no more than a 500 comp deductible if you are looking for cost-effective coverage. Depending on your history, the difference between a 500 and 250 comp deductible may also be minimal.

Your collision deductible is where you are going to see the greatest premium difference from 500 to 1000.

ALWAYS, always carry as much liability coverage as you can comfortably afford. Better to have it and not need it than to not have it and wish you did.

Also, the difference between 50k property damage liability and 100k is usually anywhere from cents to a couple bucks a month. Always ask for the premium difference between those two. It'll shock you how little it is.

However, the above isn't necessarily true if you have multiple accidents and/or have been driving for only a few years.

I can go on and on.

THis is all good. I actually moved from Geico to Nationwide today due to the cheaper rates and the bundle packages. Also if you have your comp coverage at $1,000 then you are losing any bet you want to make with me. It's hardly anything to move that coverage to $500. Also if you have 100/300/50 on your cars your agent has failed you. 100/300/100 costs about 50 cents a month more on normal policys

 

[Three4Cy]

I've researched my own coverage needs so a low quote is not being pushed on me by an agent. I know exactly what I'm looking for thanks to the outstanding education I received in finance from THE Iowa State University.

No offense to any agents on the board or to anyone who suggests it as the way to go, but I'm simply not interested for a couple reasons. First, I don't like people very much, least of all salespeople. I'd much rather get online and submit a claim when necessary than call and talk to somebody on the phone. Second, as I recently found out with my satellite install experience I posted on extensively,I see an agent as an unnecessary layer of potential incompetence. Again, no offense intended, just one man's opinion.

To the other person who posted regarding deductibles, I have also saved thousands over the years by selecting high deductibles. I want insurance for one reason only: to replace my car in the event of a catastrophic accident. I don't want insurance paying to fix door dings. I've never understood people who pay hundreds of extra dollars per year so they can have a $250 deductible vs. a $1000 deductible. Makes no sense whatsoever.

I'm surprised to read some people's comments about Progressive being expensive. I think "Progressive" and "expensive" are two words I've never seen in the same sentence together.

Comparing your satellite experience to buying insurance, apples to oranges.

I will take an agent any day of the week vs. calling an 800 number and waiting on hold for 10 minutes to talk to someone to make a simple change.

My independent agent is easy to work with, pick up the phone tell him what I want to do, two or three days later in the mail I get the updated information from the insurance company. He's local, so if I need to see him, I can. When it comes to my insurance, I want personal service, and someone who understands my needs, not some person in a call center who looks at a screen on a computer.

As for the comment about paying more money for a lower deductible, I just purchased a new vehicle, and had my agent quote me at my current deductible, and raising it to $1000, the difference was $2.00 a month, so I kept the lower deductible. Told him I was going to add an umbrella policy in July, he told me I would get an 8% discount off my homeowners to do this, plus I get 5% back every year as long as I have no claims. So with the savings on my homeowners and 5% the umbrella policy will cost me nothing. As a customer, that is the kind of service I appreciate from my agent. If you can get that from an 800 number, more power to you.

 

[ruxCYtable]

I will take an agent any day of the week vs. calling an 800 number and waiting on hold for 10 minutes to talk to someone to make a simple change.

Never done that before. I make my changes myself online, at my convenience, without talking to anybody and without giving a human a chance to screw it up.

And I'm not comparing the products, insurance and TV service. Only that, IMO, an agent is another layer of possible complication (like going through a 3rd party to order DirecTV) that is unnecessary IF you are comfortable and competent enough to do it yourself.

 

[CLONECRAZY]

I'll confess I am an agent, but this is what I know. I compete w/ Geico & Progressive daily and have for years. I beat them both 90% of the time and here's why, as another mentioned they low ball coverage and price, each year the price increases even though you have not had a ticket or accident and it continues to increase til after 3 yrs you are back to paying more than when you switched. It's how I write business. With the online insurers you are simply a number. As another said call a body shop, they will give it to you straight. What I can guarantee you is they will tell you State Farm is in there top 2. The reason is they have the most professional claim team available (many ISU grads by the way) 24/7. Service is what you are paying for after all. The difference w/ State Farm too is a local agent is available 24/7 as well, don't want agent contact, complete everything online, it's available to you just like Geico/Progressive, but you have the personal back up if you needed it.

I have been a State Farm customer for over 25 yrs and I appreciate the fact that because I have never had an accident I have gotten 3 yr, 6 yr, 10 yr accident free discounts that have added up to $1000's. Plus I have a forgiveable accident on every one of my vehicles. You can't beat a company that's been around for 88 years and isn't going anywhere. Bottomline w/ insurance, find an agent you like and stick w/ the company, tenure will benefit you in the long run I guarantee it.

Good luck.

 

[dmclone]

Like I said before, by going through a broker I've always gotten better rates than what Geico and Progressive have offered. Another big plus for me is the customer service. They switched me to different companies without me asking when they saw better rates, they got my insurance company to insurance my sport bike even though they normally don't and it's reassuring to know that when I call I will talk to one of the same two woman I've talked to for the last 15 years. Every time I call them they something like "what are you buying now" or "has your wife agreed to this purchase?. Even though I don't, I would be willing to pay a little more for that type of service.

 

[bpmcclain]

I can't stand Flo - go with Geico.

This. I have Geico and havent had a problem with them yet. I havent heard a lot of good about State Farm; a lot of people I know to refer to them as State Fraud. Does anyone know if 21st is suppose to be any good for auto insurance?

 

[Knownothing]

This. I have Geico and havent had a problem with them yet. I havent heard a lot of good about State Farm; a lot of people I know to refer to them as State Fraud. Does anyone know if 21st is suppose to be any good for auto insurance?

Your wrong. I work for a competitor and I am an agent so I am in direct compatition with State Farm and they are a good company. The company I work for is also a good company. Top 10 claims and service. A+ rated. We have accident and violation forgivness. We give anniversary discounts just like state farm does. You should get a discount for being with a company for a long time. The two that you all are talking about do not do that.
If you are with Nationwide or State Farm for over 5 years they are hard to beat due to them giving you discounts for staying with them.