WTF GEICO??

Captain

Captain

Final Approach
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I've been a GEICO customer since 1991 when I bought my first car. Over the years I've stayed with them despite being offered cheaper insurance from others. Don't know if its brand loyalty or whatever but they've been my insurance carrier for so long they feel like a friend in a way. They've seen marriage, kids born, military service, flight training, airlines....whatever....its been a long time.

So, my oldest stepson got a DUI last summer. As a consequence his dad pulled his car and I cancelled his insurance. (His mom and I have always paid the car ins for him). My stepson is 20 years old and in college. He doesn't live in the house and now walks to class.

Just got a letter from GEICO stating that after 24 years my collecting my premiums (for 4 cars for the past two years) and only stroking a check once for a claim (fender bender), that they are now dropping me because of my 20 yo step son got a DUI while living 300 miles away.

I want my insurance back so I can dump them! I don't like being the dumped party and don't really see how it's fair or a smart business decision.
 
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Captain said:
I've been a GEICO customer since 1991 when I bought my first car. Over the years I've stayed with them despite being offered cheaper insurance from others. Don't know if its brand loyalty or whatever but they've been my insurance carrier for so long they feel like a friend in a way. They've seen marriage, kids born, military service, flight training, airlines....whatever....its been a long time.

So, my oldest stepson got a DUI last summer. As a consequence his dad pulled his car and I cancelled his insurance. (His mom and I have always paid the car ins for him). My stepson is 20 years old and in college. He doesn't live in the house and now walks to class.

Just got a letter GEICO that after 24 years my collecting my premiums (4 cars) and only stroking a check one claim they are now dropping me because my 20 yo step son got a DUI while living 300 miles away.

I want my insurance back so I can dump them! I don't like being the dumped party and don't really see how it's fair or a smart business decision.
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They obviously don't think of you as a friend.
 
You aren't alone. After a dozen years my wife got dumped by GEICO because our kid had a parking lot incident (and a raft of tickets). They did her a favor - equal coverage from another insurer for much less. Never been back to GEICO. Screw them.

Loyalty between corporations and customers is an anachronistic concept.
 
The insurance co,s take your money,untill you become a risk,then it's see you later time. The insurance co's are the ones with no loyalty. If you shop around every couple of years,you'll get more attention.
 
Insurance Company loyalty? Sheeeit, ain't nobody got time for that....
 
GEICO makes the most sense for youngsters who do not need homeowners and umbrella. Their rates for cars can be very good but not for the other policies. Generally you buy them all from the same company.

So just move on, at your age maybe you have graduated from GEICO,
 
Captain said:
So, my oldest stepson got a DUI last summer. As a consequence his dad pulled his car and I cancelled his insurance. (His mom and I have always paid the car ins for him). My stepson is 20 years old and in college. He doesn't live in the house and now walks to class.
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There are several factors at play here. The first is that no company has ever been your friend even though they have warm and fuzzy commercials. If you're not making them money right now or in the near future then you're really not even a factor.

But in their defense I doubt that they knew your son is out of the household. There is no relationship between premium paid and coverage provided. If you cancelled his policy but didn't tell them that he was out of the household they naturally would assume that he's still there.

Most auto policies will provide coverage for someone (whether rated or not) who lives in the named insured's household or is a driver listed on the policy. I'd be willing to be that they thought he was one of the two.
 
Wow, and I thought this thread was going personal until I opened it.
 
frfly172 said:
The insurance co,s take your money,untill you become a risk,then it's see you later time. The insurance co's are the ones with no loyalty. If you shop around every couple of years,you'll get more attention.
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You can take the word "insurance" from "insurance companies" and it's still true. That's the way businesses operate.

But I should be up front and say that my employer is an insurance company and if you live in one of a few states in the midwest it's my name on the bottom of the cancellation letter when things go south.

People think we make a mint off of young drivers (<25), and I used to think that too. In reality we take a beating on those drivers and write them only because they're tied to policies that are profitable.
 
State Farm did that to our family years ago. I got an 'illegal transportation of alcohol' ticket. Not even drinking, a guy in the back had a beer. We dropped insurance on three cars, two farms, three houses and more. Agent tried but State Farm wouldn't budge.
 
No reason to be loyal to an insurance company anymore. There was probably a time when not having claims and years of loyalty got you something, but with big corporations like Farmers, Geico, Progressive, State Farm, etc. they don't care. It's just another faceless corporation to deal with, like the cable company. Annual rate hikes and "new car replacement" marketing drivel are the norm, so you might as well find the best coverage at the lowest price.
 
I've had State Farm for more years than I can count. Wife totaled a car several years ago and I've had some tickets along the way. They still insure us and premiums have never suddenly increased.
 
Hey! They stole my name (seriously, they stole my company name) and now they are trashing my reputation? I need to get Buffett on the phone.
 
Captain said:
I've been a GEICO customer since 1991 when I bought my first car. Over the years I've stayed with them despite being offered cheaper insurance from others. Don't know if its brand loyalty or whatever but they've been my insurance carrier for so long they feel like a friend in a way. They've seen marriage, kids born, military service, flight training, airlines....whatever....its been a long time.

So, my oldest stepson got a DUI last summer. As a consequence his dad pulled his car and I cancelled his insurance. (His mom and I have always paid the car ins for him). My stepson is 20 years old and in college. He doesn't live in the house and now walks to class.

Just got a letter from GEICO stating that after 24 years my collecting my premiums (for 4 cars for the past two years) and only stroking a check once for a claim (fender bender), that they are now dropping me because of my 20 yo step son got a DUI while living 300 miles away.

I want my insurance back so I can dump them! I don't like being the dumped party and don't really see how it's fair or a smart business decision.
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It sucks. I've been with Farmers for 20 years. My son just got a new car. In the process of insuring it they ran a check and found they didn't have his current drivers license, which when corrected revealed one minor speeding ticket and a stop sign violation. That bumped his insurance on his new car by 30% AND kicked me up $50 a month on MY cars simply because he's my son and could drive my cars! Huh?
 
Wow, lots of USAA fans here.

USAA surprises me. After Sandy, they actually called me to make sure everything was okay. The lady on the phone had me walk around the house and property and talked me through an inspection. I was kind of surprised because my area wasn't especially hard-hit by Sandy.

As for car insurance in general...

What I usually tell people who ask for car insurance company recommendations is (1) To talk to an independent agent and get their recommendations and quotes; (2) to talk to USAA if they're veterans or otherwise eligible; and (3) to take a ride and talk to as many body shops in their neck of the woods as they can. Just walk in and tell them you're shopping around for insurance and that you'd appreciate their input. If anyone knows who's good and who sucks, it's collision shops.

Around here, USAA, Erie, Farmers, and Amica Mutual all get hearty thumbs-up from the collision guys. They're all considered so good that there's really no difference between them. Geico and Progressive get cuss words and spittle on the ground. Everyone else gets grades somewhere in between.

Things are different from place to place, however, so it's important to get local quotes. The adjusters in a given area can make all the difference in terms of how a claim is handled. A company that's good overall may have a horrid adjuster handling a particular town. Local recommendations are essential.

Rich
 
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I've been with USAA since I was a young Lt.
Over 30yrs with no issues, a few minor claims paid with no hassle.
 
Been with USAA since 1984. While they aren't as good as they once were, they are still one of the best regarding customer service and prices.


Jim R
Collierville, TN

N7155H--1946 Piper J-3 Cub
N3368K--1946 Globe GC-1B Swift
N4WJ--1994 Van's RV-4
 
N3368K said:
Been with USAA since 1984. While they aren't as good as they once were, they are still one of the best regarding customer service and prices.


Jim R
Collierville, TN

N7155H--1946 Piper J-3 Cub
N3368K--1946 Globe GC-1B Swift
N4WJ--1994 Van's RV-4
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Since 1969 for me. I can remember when, if you had two vehicles insured with them, any others you might own were covered at no additional cost.

Dave
 
Corporations may be "people," but they make lousy friends.
 
N3368K said:
Been with USAA since 1984. While they aren't as good as they once were, they are still one of the best regarding customer service and prices.


Jim R
Collierville, TN
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Yea, they got less good when they partnered with Progressive for motorcycle insurance instead of keeping it in house. Stupid thing to do if you ask me. Now my motorcycle is with another company that costs less that Progressive,

David


Sent from my iPad using Tapatalk HD
 
flhrci said:
Yea, they got less good when they partnered with Progressive for motorcycle insurance instead of keeping it in house. Stupid thing to do if you ask me. Now my motorcycle is with another company that costs less that Progressive,
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USAA since '86, and yeah, I don't know why they decided to punt motorcycles/boats/RVs off to Progressive.

Captain, being ex military, I'd get quotes from USAA.
 
Another USAA vote. I've been with them for home owners and auto for 30+ years. Great company, great service and no hassle claims.

My best USAA story: I got rear ended by a gentleman who had 1) State Farm insurance and 2) a new to him (6 months) truck which he hand't informed State Farm about. State Farm declined to pay my damages on the basis of his not telling them about the truck. I called USAA to explain and make a collision claim. They said they'd handle it. Within 24 hours I got a call from State Farm saying they would cover my damages and a rental car.

Every claim I've ever had for both auto and home has been a 1 call and it's taken care of experience. And my rates are still fine.

John
 
Geico266 said:
Hey! They stole my name (seriously, they stole my company name) and now they are trashing my reputation? I need to get Buffett on the phone.
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I'm not sure if Jimmy will help you on this one.
th


OK, maybe you'll feel better after a visit to Margaritaville, but don't drive, or we're back to the top of the thread again.

;)
 
BillTIZ said:
I've been with USAA since I was a young Lt.
Over 30yrs with no issues, a few minor claims paid with no hassle.
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I've been USAA insured all my driving life (my father was insured with them) and by and large they are a good company. It's too bad their aviation agency sucks so badly. They sold out their entire customer base to USAIG a few years ago and USAIG started deciding to shuck customers (like all the Navions just because there "aren't many of them around" not because they are a high risk or expensive to repair) and were unable to get a decent underwriter to deal with them after that fiasco.
 
USAA or Amica. Amica handily beat USAA's rates (with better coverage limits and lower deductibles), and I get personal friendly stateside service, easy claim handling, etc. Get quotes from both. You've graduated from Geico.

P.S. I too thought this thread was going to be about our user, Geico!
 
jsstevens said:
Another USAA vote. I've been with them for home owners and auto for 30+ years. Great company, great service and no hassle claims.

My best USAA story: I got rear ended by a gentleman who had 1) State Farm insurance and 2) a new to him (6 months) truck which he hand't informed State Farm about. State Farm declined to pay my damages on the basis of his not telling them about the truck. I called USAA to explain and make a collision claim. They said they'd handle it. Within 24 hours I got a call from State Farm saying they would cover my damages and a rental car.

Every claim I've ever had for both auto and home has been a 1 call and it's taken care of experience. And my rates are still fine.

John
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Thanks for the tip!
 
Expecting any sort of customer loyalty in an industry that not only runs everything on computers, but even factors into their computer models the profit they'll make by you not leaving *because of your misguided sense of loyalty to them*, is probably not wise.

Shop insurance regularly. It's well know fact that rates slowly rise over time to the exact calculated "hassle factor" they've built into their models. They love that you won't bother to dump them because it would hassle you to shop around.
 
Insurance is a for-profit business, and there is no getting around that. In addition, it is important to recognize that insurance only works when the risk is spread over a group. While you may have only had a fender-bender during your tenure, the guy three doors down, with a similar family profile, might have totaled a $35k sedan after a night of drinking. Said claim probably far exceeds the premium the company will ever collect from him. So the profitability of a single policy is not indicative of the profitability of the entire book, and underwriting rules like this are probably made in consideration of the combined ratio of the entire book. (Interestingly, the big companies regularly run combined ratios in the mid 90%s+, but they do invest premium dollars for addition revenue.)

If I understand your OP correctly, your step-son was a listed driver on your policy when he got his DUI. In my experience it is not uncommon for an auto insurance company to issue non-renewal if they catch wind of a DUI for any driver.

I'd try USAA or find a local independent agent to help. In my opinion, it's nice to have a guy or gal that you can actually look in the face and who makes money by keeping you happy. But, I'm biased.

Disclaimer: I'm in the industry.
 
asechrest said:
Insurance is a for-profit business, and there is no getting around that. In addition, it is important to recognize that insurance only works when the risk is spread over a group. While you may have only had a fender-bender during your tenure, the guy three doors down, with a similar family profile, might have totaled a $35k sedan after a night of drinking. Said claim probably far exceeds the premium the company will ever collect from him. So the profitability of a single policy is not indicative of the profitability of the entire book, and underwriting rules like this are probably made in consideration of the combined ratio of the entire book. (Interestingly, the big companies regularly run combined ratios in the mid 90%s+, but they do invest premium dollars for addition revenue.)

If I understand your OP correctly, your step-son was a listed driver on your policy when he got his DUI. In my experience it is not uncommon for an auto insurance company to issue non-renewal if they catch wind of a DUI for any driver.

I'd try USAA or find a local independent agent to help. In my opinion, it's nice to have a guy or gal that you can actually look in the face and who makes money by keeping you happy. But, I'm biased.

Disclaimer: I'm in the industry.
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Translation:

"The computer told me to do it and there's no override button so I can milk this guy for another 23 years!"

:)
 
asechrest said:
Disclaimer: I'm in the industry.
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Just for fun you should post just a few claims incidents. And explain that nowhere in any policy is there an "idiot" exclusion.

* I can't tell you the number of fire loss claims where people have cleaned out their fireplace or bbq grill and put the old coals in a paper bag and put the bag on a wood deck.

* The guy who dusted his combine off each day w/ propane, until one day he turns it into a flame thrower by accident.

* Rolex left on dash of unlocked car.

* Guy teaches his 14 YO son how to use his Bobcat. Kid and his friend take it for a joyride, friend riding in bucket with it raised to highest level.

* Insured eating burrito in rush hour traffic. looks down to take a bite and hits pedestrian. $100K SL coverage limit isn't nearly enough. Insured was also the idiot agent.

And then there are the legitimate claims caused by texting - a huge problem. You know the driver was texting by the absence of skid marks. Two weeks ago a father, his son and daughter were killed while he was teaching his daughter to drive. The driver in the other car was texting and didn't see them.

My favorite is the 19 YO girl whose car was stolen. She brought back 2 guys from a bar and she passed out after having sex with them, woke up to find her wallet and car gone. She was so drunk she couldn't recall what they looked like. They didn't make 19 YO girls like that when I was 19.

But my real pet peeve is people who complain about their insurance rates, and I'll take a look and see that we've paid them (or on their behalf) tens of thousands in claims over just the last few years. Somehow people think those claims checks are free money.

But there are funny stories too. We had a total fire loss that was suspicious but couldn't prove that the insured was involved. Until the police were able to check her text messages. The insured had an air-tight alibi that she was 100 miles away, except right after the fire was set she was texting with her adult daughter. "it's burning now" "Good - get out of there!" "on my way back", etc.

I could go on all day. For such a boring industry, there really are some interesting tales.
 
And on the opposite side of the coin...

I have been driving for 45 years.. Paying for full coverage insurance every year....

NEVER had an accident
NEVER been pulled over
NEVER even had a parking ticket.
NEVER filed an insurance claim.

Funny, my rates keep going UP every year even though the vehicle blue book price keeps going DOWN every year...:confused::confused::confused::confused:.

Been a homeowner for 40 years.

NEVER filed a claim...

Homeowners premium has gone up 60% in the last two years...

Seems the insurance industry forgot to charge higher premiums for people affected by Hurricane Sandy...

And alot of policies had verbage against paying those claims based on hurricane damage... BUT... The politicians stepped in and renamed it "SUPER STORM SANDY".... To buy votes from the policy holders and guerss what..... Insurance pays for "storm damage"..:mad2::mad2::mad2:
 
I complain when I've never had a claim in 20 years for my homes or my vehicles/toys. I'm well aware that insurance, by it's nature, is a pool of resources used to mitigate losses. However, I take issue when repeat offenders are able to re-join the pool with little impact. I'd like someone who's had 4 at-fault car wrecks in five years to be paying astronomical rates so that it might deter them from screwing up again. Usually they have a higher rate, but it's never enough to cause true distress.
 
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