I do write with Progressive because they fit a need for our agency. I guess I live with them writing direct, but absolutely disagree with the 2 sets of rates. Not equal or fair, but then who said life is always fair. I guess learn to live with it or don\’t represent them.
It\’s real simple, Just do what is right for the client and the rest will take care of itself but if you have multiple companies that have a comparable rate to Progressive go with the one who does not sell direct and after all if a client has prior coverage and a average to above average driving record write them with a excellent company like ERIE and you will have a satisfied client for many years to come.
Don\’t know–now we\’re advertising for them to sell direct-there\’s no difference in the company, only the rates—something\’s not right there, ya know?
One thing\’s for sure, we\’re gonna do more for them than they are for us. WalMart, Progressive, what\’s the difference? Don\’t count on them to help you make your second million.
For the agents that have nothing but negative comments about Progressive, why do you write policies with them? I am a commercial agent and find them very helpful when I need to insure a not-so-stellar driver for a commercial fleet account.
I have over 30 years experience as a commercial independent agent. I am not new or naive. I just don\’t understand why agents complain about companies but continue to do business with them. As an independent, I have many choices and only work with the companies that provide a benefit to my clients.
Sure, no company is perfect, but what is the point in the endless griping?
Lauren,
You are absolutly correct. Our agency specializes in personal lines but we do not and will not write Progressive personal lines. We do not need the type of clients that Progressive attracts. Good luck and happy days ahead for all of you appointed agents with Progressive. We choose to do business without the aggrivation of having to think about Progressive. We just don\’t like them.
I started writing with Progressive after the big betrayal (as I understand it) happened years ago. I have had good luck with them, their customer service is 2nd to none. I did like them setting up our \”own\” brand for Ind Agents with Drive.
They did spend a little advertising money for Drive, compared to the huge advertising buget for direct, even though
80% of their auto business is written thru Independants Agents. I do have a little concern about deciding to change \”our\” name back to \”theirs\”. HOW much of their new advertising bucks will say \”PROGRESSIVE.. call your Independent
Agent\” ? Or will it just be back to pushing PROGRESSIVE and we have to fight the direct team, (giving homeowner and prior discounts without proof.)
I totally understand EB\’s view and more power to him. I, on the other hand, have incorporated Progressive within our agency in such a way that allows us to find a rate for every client that walks in our door, calls our agency or applies online. Obviously client retention is key in this business and we have found that once a client has received the benefit of a friendly service oriented agency, that client, no matter how poor the driving or credit history, is reluctant to leave. Also, we find if aggressively remarketed, our Progressive book revolves into a great source of new business for our standard markets.
If a personal lines agency embraces and merely keeps up with the automation curve, it can compete with the Progressive Directs and GEICO\’s out there. If done correctly, our goal is to have our client base identify us as their insurer. Bottom line, we put up with Progressive, and deal with the shrinking margin because in the long run, we benefit from their open market strategy.
If you choose to do business with Progressive, the name change back to Progressive for IA\’s is a positive. The \”Drive\” brand would have never made it without a huge amount of advertising dollars and that\’s something that Progressive was never committed to doing for IA\’s. Any agent that believed that Progressive was going to make the \”Drive\” brand as big or bigger than \”Progressive\” was mistaken. Progressive\’s first objectve for the \”Drive\” brand was NEVER to offer agents a successful brand. It was a way to separate the direct and agent channels further. The Progressive Direct group never thought they could compete with Geico by advertising a \”dual channel\” product.
The reality is that the IA channel doesn\’t realize that they don\’t even compete with the direct writers. The reality is that less than 5% of all direct consumers actually shops with an IA as well. Why do you think companies like Progressive Direct exist….to capture a market the IA\’s weren\’t touching. So, if the IA channel spent as much time focusing on how to build their business and actually market their agency(as opposed to sitting on their butts during the soft market) as they did Whining about the direct channel and especially, Progressive\’s direct channel, they may actually begin to gain some market share. The reality is that the IA channel\’s share of the Personal Lines business is simply remaining flat over the past 3 years.
Stop Whining and accept that this is part of the industry. Focus on your own agency and it won\’t be an issue. Unbelievable!
Direct isnt working very well, and they decided to go for any money instead of only the direct money… simply put, they didnt do like allstate and do a seperate company like deerbrook they aren\’t going to allow us to do agent of records from their direct program and they arent going to let us bind over the phone or online at our web sites, they are our competitor plain and simple…..PROVE ME WRONG!!!
anyone out there have any experience with their cross marketing with Homesite, what states are in it, what forms, HO 3, 5, add\’l end\’s ie: quake, and don\’t forget commission , how much
I don\’t know what state you\’re in, but in PA, IA\’s are more competitive than the direct\’s. Marketing expense is costly and the GEICO\’s & PGR Direct\’s financials reflect this. Look at PGR\’s expenses (direct v agents) you will see it about indentical. When direct\’s market it is by national advertising and their advertising hits area\’s normally you would not want to write business in. IA\’s can target the more profitibale areas and therefore be more competitive than the directs. Proving to the consumer that by going direct cost more is the job of the IA\’s. Yes, many sit on their butt but so do the computer screen gazers at GEICO & PGR.
Sounds like Grumblings out in Insuranceland. The Marketing Dept at Progressive should grow a set and go after Geico plain and simple. In NY when the market hardened in 2001 Geico didn\’t take rates and grabbed marketshare and Bounced (Allstate), (StateFarm), and Progressive to become #1 in marketshare. Geico who claims to have cut out the middleman is now opening up (Captive Offices) ie middlemen. They are now in more direct competition with Progressive for the customer who needs an office for payments, and the local person you have mentioned. So if the Progressive marketing department is reading this you should be stressing Local Agents so you don\’t get clobbered in the local markets in your advertising. The direct side you got whooped against Geico over the last 4 years in NY. Listen to your IA\’s, Geico will eat your lunch. What is going on in other states with Geico anyone know?
If you understood that they use two different underwriting companies you\’d understand why you can\’t do an AOR to transfer business. They do however, freely accept the direct as POP for their Agency business though. They provide you all the opportunity to transact business over your website. You just need to use it properly. Yeah, that deerbrook brand is doing really well for you isn\’t it.
Exactly my point. At least you\’ve tried it both ways. In Ohio we\’re more competitive as well. All I\’m saying is people don\’t understand who their competition is and they use Progressive as the scapegoat, when they really are focused on the wrong things.
I have it in OH and they\’ve opened it up in PA, OH and OR. The best workflow by far. It takes me half the time to get a home/auto quote than all of my other carriers. They write HO3, HO4 and HO6. You can create a 5 through endorsement. Rates are competitive and so is commission.
thanks for the reply, other questions
Best Rating of Homesite
who inspects the property, is quake available, package discount available and if so, how much
what is the commission
All comments make sense. \”Direct\” business is faceless. GEICO customers are brought to the trough thinking the water is clear; after they receive their policies and a higher rate, the water\’s green. IA business is more like \”general store\” where a customer is presented various items and their prices, speaks with someone who speaks their language, look\’m in the eye, and make their decision to purchase accordingly. Progressive Direct tries this approach by quoting several of the big companies only, but it is still \”faceless\”. Allstate, has three channels: The \”captive agent\”, but the Direct and Internet has proven disastrous! W. Buffet\’s GEICO pours billions in ADs; he can afford it. Nonetheless, it is still \”faceless\”. The proof is in the puddin\’…if their service does not match their sales pitch, then 20% of their clients leave\’m! An IA has the advantage of working with a dissatisfied customerby by explaining the processes involved between sales and service. But, Progressive is downright rude and inconsiderate of the IA\’s efforts if the customer is not convinced to still it out with it. When Progressive abandons the agent, there\’s no buy-back-agreement and they get away with it. The client who remains with Progressive is merely shuttled to another agent. Changes in the business world are like new paint…but somethimes new paint covers somethings that are rotten underneath it. Adios, Red Ryder….
All I know about GEICO is that they are doing extremely well. I am sure the numbers will be out soon and I bet you that GEICO grew faster than the competition. I think they are #1 in some east coast states? Someone may be able to confirm that. The fact that they now have some offices around the country is great. I hardly ever hear anything negative about them. GEICO is a smart company. I think some of us IA just wish we could write business for them — that\’s the only reason why some of you are hatin\’ on GEICO anyway.
Homesite determines if the home is inspected. They only inspect approx. 40% of the homes they write. Package discount is available at 10%. Quake is available. Commission is determined by the market the agent writes in. If the replacement cost to market value is favorable, commission could be 15/15 or 15/12, if not, commission would be 12/10.
It does not really matter to our agency in Ca. Progressives rates are too high anyway. We only put high risk clients with them. The preferred clients go with our preferred companies. It seems to me that in general only young people with nothing to lose go with direct companies and those that don\’t shop around. Once someone becomes a homeowner and is more financially stable they seek a relationship with an agency for their package auto/home/umbrella.
That\’s true for Progressive, but not GEICO. GEICO writes mostly preferred business. A friend of mine works for them and they don\’t do much high-risk business.
First of all, who cares? Secondly, Progressive realized that the majority of their business is written by IAs, therefore why split the pie? They can promote both channels as one company and be the better for it. Why confuse the consumer by competing with yourself, right?
Geico writes it all and, like Progressive, has no issue trying to do so. Why do you think they\’ve become more agressive with opening-up agent locations? Because preferred customers want to walk-in and pay bills or make changes to their policy? The reason is so they can handle customers with no credit cards & checking accounts. Not exactly preferred clients. Additionally, they\’re notorious for quoting lower limits and eliminating UM in order to make the sale. I have no issue with it. It\’s the buyers fault when this happens.
First of all, who cares? Secondly, Progressive realized that the majority of their business is written by IAs, therefore why split the pie? They can promote both channels as one company and be the better for it. Why confuse the consumer by competing with yourself, right?
Geico writes it all and, like Progressive, has no issue trying to do so. Why do you think they\’ve become more agressive with opening-up agent locations? Because preferred customers want to walk-in and pay bills or make changes to their policy? The reason is so they can handle customers with no credit cards & checking accounts. Not exactly preferred clients. Additionally, they\’re notorious for quoting lower limits and eliminating UM in order to make the sale. I have no issue with it. It\’s the buyers\’ fault when this happens.
First of all, who cares? Secondly, Progressive realized that the majority of their business is written by IAs, therefore why split the pie? They can promote both channels as one company and be the better for it. Why confuse the consumer by competing with yourself, right?
Geico writes it all and, like Progressive, has no issue trying to do so. Why do you think they\’ve become more agressive with opening-up agent locations? Because preferred customers want to walk-in and pay bills or make changes to their policy? The reason is so they can handle customers with no credit cards & checking accounts. Not exactly preferred clients. Additionally, they\’re notorious for quoting lower limits and eliminating UM in order to make the sale. I have no issue with it. It\’s the buyers\’ fault when this happens.
MG one question? Your friend is not very informed, neither are you. Geico writes Non-Standard business just like Progressive. If your friend said the sky was pink would you believe him/her? Stay in your own industry blogging boards where you might understand what you are talking about.
She makes $200 bucks, and I get what I want. We both know its wrong, but we\’re also both happy at the end of the day. Got to give em\’ credit, they fill a need otherwise their wouldn\’t be any business.
Nyker,
I DO know what I\’m talking about. I didn\’t say that GEICO DOESN\’T write non-standard business…I simply said that the MAJORITY of their book of business is preferred. That\’s a fact. You just assume that because Progressive is primarily non-standard GEICO is the same. You\’d be amazed at how much business they take from everyone else. Just wait until you see the numbers. As I said before, I\’m sure their growth numbers are double that of the competition.
I have represented Progressive as a Calif IA for over 20 years and know one thing for sure, Progressive will screw you, they have done it many times. The thing is they also insure hard to place risks at rates that no other company will touch. The thing is make as much commission from them before the next screwing comes.
This is definitely good for us agents. Many of my customers were confused when they got stuff from \’Drive Insurance\’. Progressive is a known name.
To NYker- you like a lot of others don\’t understand what has been going on in insurance for the past 10 years. GEICO and Progressive Direct DID NOT cut out the middle man – their office staff which you talk with over the phone is the middle man. Agents have been the \’direct representative\’ for insurance companies for about 10 years. We don\’t send stuff to the carrier for approval – we input it in their system and the computer issues the policy – simple. The agent is the local representative of the carrier which the customer can visit in person or call over the phone.
I\’m in Texas and GEICO is small potatoes here when compared with Progressive, Allstate, State Farm and Farmers/Zurich. With the exception of the preferred market they don\’t write that much. GEICO also has a bad habit of quoting lower limits of property damage liability even when you ask for higher limits. Thats because their rates are VERY high on higher limits. I\’m in Farmers\’ ultra-preferred rates and they beat GEICO by about 20%. AIG was the only one less than Farmers but, by only a few dollars.
I do write with Progressive because they fit a need for our agency. I guess I live with them writing direct, but absolutely disagree with the 2 sets of rates. Not equal or fair, but then who said life is always fair. I guess learn to live with it or don\’t represent them.
It\’s real simple, Just do what is right for the client and the rest will take care of itself but if you have multiple companies that have a comparable rate to Progressive go with the one who does not sell direct and after all if a client has prior coverage and a average to above average driving record write them with a excellent company like ERIE and you will have a satisfied client for many years to come.
Is this going to help us IAs not in California or will it be just an administrative burden?
Don\’t know–now we\’re advertising for them to sell direct-there\’s no difference in the company, only the rates—something\’s not right there, ya know?
One thing\’s for sure, we\’re gonna do more for them than they are for us. WalMart, Progressive, what\’s the difference? Don\’t count on them to help you make your second million.
For the agents that have nothing but negative comments about Progressive, why do you write policies with them? I am a commercial agent and find them very helpful when I need to insure a not-so-stellar driver for a commercial fleet account.
If you don\’t like the company, don\’t use them!
They did an about face on us when they introduced the Drive program in vegas. And we did vow to drop their business. Perhaps our hard work paid off?
They did an about face on us when they introduced the Drive program in vegas. And we did vow to drop their business. Perhaps our hard work paid off?
Lauren must be new/naive to the industry\’s behavoir. Good luck Lauren
I have over 30 years experience as a commercial independent agent. I am not new or naive. I just don\’t understand why agents complain about companies but continue to do business with them. As an independent, I have many choices and only work with the companies that provide a benefit to my clients.
Sure, no company is perfect, but what is the point in the endless griping?
Lauren,
You are absolutly correct. Our agency specializes in personal lines but we do not and will not write Progressive personal lines. We do not need the type of clients that Progressive attracts. Good luck and happy days ahead for all of you appointed agents with Progressive. We choose to do business without the aggrivation of having to think about Progressive. We just don\’t like them.
I started writing with Progressive after the big betrayal (as I understand it) happened years ago. I have had good luck with them, their customer service is 2nd to none. I did like them setting up our \”own\” brand for Ind Agents with Drive.
They did spend a little advertising money for Drive, compared to the huge advertising buget for direct, even though
80% of their auto business is written thru Independants Agents. I do have a little concern about deciding to change \”our\” name back to \”theirs\”. HOW much of their new advertising bucks will say \”PROGRESSIVE.. call your Independent
Agent\” ? Or will it just be back to pushing PROGRESSIVE and we have to fight the direct team, (giving homeowner and prior discounts without proof.)
I totally understand EB\’s view and more power to him. I, on the other hand, have incorporated Progressive within our agency in such a way that allows us to find a rate for every client that walks in our door, calls our agency or applies online. Obviously client retention is key in this business and we have found that once a client has received the benefit of a friendly service oriented agency, that client, no matter how poor the driving or credit history, is reluctant to leave. Also, we find if aggressively remarketed, our Progressive book revolves into a great source of new business for our standard markets.
If a personal lines agency embraces and merely keeps up with the automation curve, it can compete with the Progressive Directs and GEICO\’s out there. If done correctly, our goal is to have our client base identify us as their insurer. Bottom line, we put up with Progressive, and deal with the shrinking margin because in the long run, we benefit from their open market strategy.
If you choose to do business with Progressive, the name change back to Progressive for IA\’s is a positive. The \”Drive\” brand would have never made it without a huge amount of advertising dollars and that\’s something that Progressive was never committed to doing for IA\’s. Any agent that believed that Progressive was going to make the \”Drive\” brand as big or bigger than \”Progressive\” was mistaken. Progressive\’s first objectve for the \”Drive\” brand was NEVER to offer agents a successful brand. It was a way to separate the direct and agent channels further. The Progressive Direct group never thought they could compete with Geico by advertising a \”dual channel\” product.
The reality is that the IA channel doesn\’t realize that they don\’t even compete with the direct writers. The reality is that less than 5% of all direct consumers actually shops with an IA as well. Why do you think companies like Progressive Direct exist….to capture a market the IA\’s weren\’t touching. So, if the IA channel spent as much time focusing on how to build their business and actually market their agency(as opposed to sitting on their butts during the soft market) as they did Whining about the direct channel and especially, Progressive\’s direct channel, they may actually begin to gain some market share. The reality is that the IA channel\’s share of the Personal Lines business is simply remaining flat over the past 3 years.
Stop Whining and accept that this is part of the industry. Focus on your own agency and it won\’t be an issue. Unbelievable!
Nationwide isn\’t the only company with conflict.
Direct isnt working very well, and they decided to go for any money instead of only the direct money… simply put, they didnt do like allstate and do a seperate company like deerbrook they aren\’t going to allow us to do agent of records from their direct program and they arent going to let us bind over the phone or online at our web sites, they are our competitor plain and simple…..PROVE ME WRONG!!!
anyone out there have any experience with their cross marketing with Homesite, what states are in it, what forms, HO 3, 5, add\’l end\’s ie: quake, and don\’t forget commission , how much
I don\’t know what state you\’re in, but in PA, IA\’s are more competitive than the direct\’s. Marketing expense is costly and the GEICO\’s & PGR Direct\’s financials reflect this. Look at PGR\’s expenses (direct v agents) you will see it about indentical. When direct\’s market it is by national advertising and their advertising hits area\’s normally you would not want to write business in. IA\’s can target the more profitibale areas and therefore be more competitive than the directs. Proving to the consumer that by going direct cost more is the job of the IA\’s. Yes, many sit on their butt but so do the computer screen gazers at GEICO & PGR.
Sounds like Grumblings out in Insuranceland. The Marketing Dept at Progressive should grow a set and go after Geico plain and simple. In NY when the market hardened in 2001 Geico didn\’t take rates and grabbed marketshare and Bounced (Allstate), (StateFarm), and Progressive to become #1 in marketshare. Geico who claims to have cut out the middleman is now opening up (Captive Offices) ie middlemen. They are now in more direct competition with Progressive for the customer who needs an office for payments, and the local person you have mentioned. So if the Progressive marketing department is reading this you should be stressing Local Agents so you don\’t get clobbered in the local markets in your advertising. The direct side you got whooped against Geico over the last 4 years in NY. Listen to your IA\’s, Geico will eat your lunch. What is going on in other states with Geico anyone know?
If you understood that they use two different underwriting companies you\’d understand why you can\’t do an AOR to transfer business. They do however, freely accept the direct as POP for their Agency business though. They provide you all the opportunity to transact business over your website. You just need to use it properly. Yeah, that deerbrook brand is doing really well for you isn\’t it.
Exactly my point. At least you\’ve tried it both ways. In Ohio we\’re more competitive as well. All I\’m saying is people don\’t understand who their competition is and they use Progressive as the scapegoat, when they really are focused on the wrong things.
I have it in OH and they\’ve opened it up in PA, OH and OR. The best workflow by far. It takes me half the time to get a home/auto quote than all of my other carriers. They write HO3, HO4 and HO6. You can create a 5 through endorsement. Rates are competitive and so is commission.
thanks for the reply, other questions
Best Rating of Homesite
who inspects the property, is quake available, package discount available and if so, how much
what is the commission
All comments make sense. \”Direct\” business is faceless. GEICO customers are brought to the trough thinking the water is clear; after they receive their policies and a higher rate, the water\’s green. IA business is more like \”general store\” where a customer is presented various items and their prices, speaks with someone who speaks their language, look\’m in the eye, and make their decision to purchase accordingly. Progressive Direct tries this approach by quoting several of the big companies only, but it is still \”faceless\”. Allstate, has three channels: The \”captive agent\”, but the Direct and Internet has proven disastrous! W. Buffet\’s GEICO pours billions in ADs; he can afford it. Nonetheless, it is still \”faceless\”. The proof is in the puddin\’…if their service does not match their sales pitch, then 20% of their clients leave\’m! An IA has the advantage of working with a dissatisfied customerby by explaining the processes involved between sales and service. But, Progressive is downright rude and inconsiderate of the IA\’s efforts if the customer is not convinced to still it out with it. When Progressive abandons the agent, there\’s no buy-back-agreement and they get away with it. The client who remains with Progressive is merely shuttled to another agent. Changes in the business world are like new paint…but somethimes new paint covers somethings that are rotten underneath it. Adios, Red Ryder….
All I know about GEICO is that they are doing extremely well. I am sure the numbers will be out soon and I bet you that GEICO grew faster than the competition. I think they are #1 in some east coast states? Someone may be able to confirm that. The fact that they now have some offices around the country is great. I hardly ever hear anything negative about them. GEICO is a smart company. I think some of us IA just wish we could write business for them — that\’s the only reason why some of you are hatin\’ on GEICO anyway.
Homesite determines if the home is inspected. They only inspect approx. 40% of the homes they write. Package discount is available at 10%. Quake is available. Commission is determined by the market the agent writes in. If the replacement cost to market value is favorable, commission could be 15/15 or 15/12, if not, commission would be 12/10.
It does not really matter to our agency in Ca. Progressives rates are too high anyway. We only put high risk clients with them. The preferred clients go with our preferred companies. It seems to me that in general only young people with nothing to lose go with direct companies and those that don\’t shop around. Once someone becomes a homeowner and is more financially stable they seek a relationship with an agency for their package auto/home/umbrella.
Progressive and Geico can have the junk!
That\’s true for Progressive, but not GEICO. GEICO writes mostly preferred business. A friend of mine works for them and they don\’t do much high-risk business.
First of all, who cares? Secondly, Progressive realized that the majority of their business is written by IAs, therefore why split the pie? They can promote both channels as one company and be the better for it. Why confuse the consumer by competing with yourself, right?
Geico writes it all and, like Progressive, has no issue trying to do so. Why do you think they\’ve become more agressive with opening-up agent locations? Because preferred customers want to walk-in and pay bills or make changes to their policy? The reason is so they can handle customers with no credit cards & checking accounts. Not exactly preferred clients. Additionally, they\’re notorious for quoting lower limits and eliminating UM in order to make the sale. I have no issue with it. It\’s the buyers fault when this happens.
First of all, who cares? Secondly, Progressive realized that the majority of their business is written by IAs, therefore why split the pie? They can promote both channels as one company and be the better for it. Why confuse the consumer by competing with yourself, right?
Geico writes it all and, like Progressive, has no issue trying to do so. Why do you think they\’ve become more agressive with opening-up agent locations? Because preferred customers want to walk-in and pay bills or make changes to their policy? The reason is so they can handle customers with no credit cards & checking accounts. Not exactly preferred clients. Additionally, they\’re notorious for quoting lower limits and eliminating UM in order to make the sale. I have no issue with it. It\’s the buyers\’ fault when this happens.
First of all, who cares? Secondly, Progressive realized that the majority of their business is written by IAs, therefore why split the pie? They can promote both channels as one company and be the better for it. Why confuse the consumer by competing with yourself, right?
Geico writes it all and, like Progressive, has no issue trying to do so. Why do you think they\’ve become more agressive with opening-up agent locations? Because preferred customers want to walk-in and pay bills or make changes to their policy? The reason is so they can handle customers with no credit cards & checking accounts. Not exactly preferred clients. Additionally, they\’re notorious for quoting lower limits and eliminating UM in order to make the sale. I have no issue with it. It\’s the buyers\’ fault when this happens.
MG one question? Your friend is not very informed, neither are you. Geico writes Non-Standard business just like Progressive. If your friend said the sky was pink would you believe him/her? Stay in your own industry blogging boards where you might understand what you are talking about.
She makes $200 bucks, and I get what I want. We both know its wrong, but we\’re also both happy at the end of the day. Got to give em\’ credit, they fill a need otherwise their wouldn\’t be any business.
Nyker,
I DO know what I\’m talking about. I didn\’t say that GEICO DOESN\’T write non-standard business…I simply said that the MAJORITY of their book of business is preferred. That\’s a fact. You just assume that because Progressive is primarily non-standard GEICO is the same. You\’d be amazed at how much business they take from everyone else. Just wait until you see the numbers. As I said before, I\’m sure their growth numbers are double that of the competition.
I have represented Progressive as a Calif IA for over 20 years and know one thing for sure, Progressive will screw you, they have done it many times. The thing is they also insure hard to place risks at rates that no other company will touch. The thing is make as much commission from them before the next screwing comes.
This is definitely good for us agents. Many of my customers were confused when they got stuff from \’Drive Insurance\’. Progressive is a known name.
To NYker- you like a lot of others don\’t understand what has been going on in insurance for the past 10 years. GEICO and Progressive Direct DID NOT cut out the middle man – their office staff which you talk with over the phone is the middle man. Agents have been the \’direct representative\’ for insurance companies for about 10 years. We don\’t send stuff to the carrier for approval – we input it in their system and the computer issues the policy – simple. The agent is the local representative of the carrier which the customer can visit in person or call over the phone.
I\’m in Texas and GEICO is small potatoes here when compared with Progressive, Allstate, State Farm and Farmers/Zurich. With the exception of the preferred market they don\’t write that much. GEICO also has a bad habit of quoting lower limits of property damage liability even when you ask for higher limits. Thats because their rates are VERY high on higher limits. I\’m in Farmers\’ ultra-preferred rates and they beat GEICO by about 20%. AIG was the only one less than Farmers but, by only a few dollars.