GEICO auto rates vs. USAA: too good to be true?

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Slacker
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Slacker » Tue Mar 14, 2017 6:24 pm

enki wrote:USAA member here.
...Only military officers qualify to be insured by USAA directly. These are the lowest rates as it is treated like an insurance cooperative. Spouses also qualify for this tier. You also get a subscriber savings account in addition to the annual dividend.
...
Enlisted and NCOs below a certain grade are under USAA GIC. Higher rates than both tiers above.

The last tier is more of a penalty box. If you have a bad driving record and are considered a high risk, you are moved to a different subsidiary with much higher rates. I think it's called Garrison Insurance off the top of my head.
...
I have "Garrison Prop and Cas Ins Co" for my USAA (former NCO). Terrible news for me -> guess I need to shop for new insurance. I had one at fault incident in 2003. No tickets, ever (not even from the at fault incident). Been with USAA for too long apparently.

Now I just have to figure out where to take my insurance business (Auto, Renter's, Rental Property and Umbrella).

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by giesen5 » Tue Mar 14, 2017 6:27 pm

Car insurance at Geico was $300 cheaper per year than Encompass.

Home insurance was double what Encompass offered and Encompass had better coverage.

Slacker
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Slacker » Tue Mar 14, 2017 8:04 pm

USAA put me on Garrison property insurance when I moved to Arizona.

Just finished talking to an Amica representative. We didn't complete the quote, but so far I'm going to save about $200 / year with Renters, Rental Property, Vehicle (1 car, liability) and Umbrella insurance policies.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by LarryAllen » Tue Mar 14, 2017 8:25 pm

Sconie wrote:I had used USAA for insurance for decades but finally got to the point of pulling away from them. Simply, USAA is not the same company that they used to be.

Presently with Geico for auto & umbrella and Ameriprise via Costco for homeowners insurance. So far, so good.
Does your umbrella cover your homeowners as well? In my experience you have to buy together, no?

enki
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by enki » Tue Mar 14, 2017 8:58 pm

Slacker wrote:I have "Garrison Prop and Cas Ins Co" for my USAA (former NCO). Terrible news for me -> guess I need to shop for new insurance. I had one at fault incident in 2003. No tickets, ever (not even from the at fault incident). Been with USAA for too long apparently.

Now I just have to figure out where to take my insurance business (Auto, Renter's, Rental Property and Umbrella).
Well your driving record certainly doesn't warrant being considered an at risk driver. Between 1999-2003, I had three accidents (no injuries, but totaled the cars resulting in tens of thousands of collision payouts), plus a number of speeding tickets. Even then, I wasn't demoted to Garrison. I was under my parents policy at the time and the only repercussion was they said I either had to get my own (as CIC) or they would cancel their umbrella policy. In the end, I think USAA uses other factors to make the distinction of why they put people on Garrison vs GIC or CIC. If I were you, I would call them and ask.

While I have been happy with the level of service I've gotten as CIC, I don't like how they pretend that USAA=USAA, when there are really four separate companies operating under the umbrella. Outside of premiums, I believe CIC and GIC are about the same, but full USAA membership has much better rates plus other benefits. Of course they don't advertise any of this in their commercials or marketing material. USAA never really expanded their enrollment, they simply created new profit centers from non-officers.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by neilpilot » Wed Mar 15, 2017 8:38 am

LarryAllen wrote:
Sconie wrote:I had used USAA for insurance for decades but finally got to the point of pulling away from them. Simply, USAA is not the same company that they used to be.

Presently with Geico for auto & umbrella and Ameriprise via Costco for homeowners insurance. So far, so good.
Does your umbrella cover your homeowners as well? In my experience you have to buy together, no?
Actually, no. My home is not with GEICO, just my auto & umbrella. GEICO's home quote was just way too high. This maybe company dependent, but it works with GEICO.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Slacker » Wed Mar 15, 2017 12:25 pm

enki wrote:
Slacker wrote:I have "Garrison Prop and Cas Ins Co" for my USAA (former NCO). Terrible news for me -> guess I need to shop for new insurance. I had one at fault incident in 2003. No tickets, ever (not even from the at fault incident). Been with USAA for too long apparently.

Now I just have to figure out where to take my insurance business (Auto, Renter's, Rental Property and Umbrella).
Well your driving record certainly doesn't warrant being considered an at risk driver. Between 1999-2003, I had three accidents (no injuries, but totaled the cars resulting in tens of thousands of collision payouts), plus a number of speeding tickets. Even then, I wasn't demoted to Garrison. I was under my parents policy at the time and the only repercussion was they said I either had to get my own (as CIC) or they would cancel their umbrella policy. In the end, I think USAA uses other factors to make the distinction of why they put people on Garrison vs GIC or CIC. If I were you, I would call them and ask.

While I have been happy with the level of service I've gotten as CIC, I don't like how they pretend that USAA=USAA, when there are really four separate companies operating under the umbrella. Outside of premiums, I believe CIC and GIC are about the same, but full USAA membership has much better rates plus other benefits. Of course they don't advertise any of this in their commercials or marketing material. USAA never really expanded their enrollment, they simply created new profit centers from non-officers.
Going through the quote process with Amica, I found out that when I moved from Colorado to Arizona -> USAA switched me over to Garrison at that time. I also converted my home into a rental property and started Umbrella insurance for the first time.

However, while the auto and umbrella rates with Amica are significantly cheaper ($160 per year for the two), my Renter's and Rental policies are significantly higher with Amica ($20 on renters and $500 on Rental Property). Looks like I stay with USAA as I don't want to requote both companies and have two separate insurance companies to pay to determine the optimal combination of insurance for saving a few bucks (already spent 2.5 hours with an Amica rep).

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Hanksmoney » Wed Mar 15, 2017 12:33 pm

I'd like to offer some advice here. A little background: I have 2 cars and a homeowner policy. I had State Farm for 8 years. I had a hail damage roof claim - no problem. I had a burst water pipe claim ($80K in property damage). ABSOLUTE NIGHTMARE. I had to get a lawyer to help straighten it out, but 2 years later I was whole. 95% of the population would have been seriously screwed. Once a 2 year period had past, I began researching b/c I had promised I would leave State Farm.

Consumer Reports gives Amica the highest marks in combination of value and claim response. Being penny-wise in the past, I had never valued the later. However, a call to Amica saved me $400/year on cars with substantially more coverage and $200 on homeowner with similar coverage. They also combine both cars under 1 policy instead of having an individual policy for each car - a little cleaner.

I would guess they aren't much more than Geico if any, but w/ 4 cars and a home (i assume) I wouldn't ignore the internet reviews of Geico which seem to be rough.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by 1030danielle » Wed Mar 15, 2017 12:34 pm

I've been with GEICO 22 years and qualify for all the discounts they offer. I recently researched quotes to increase my coverage, and when I did, I found that Traveler's beat GEICO by about $500/year. (Travelers 1900/year; Geico $2400/year)

This is the coverage I am seeking:
  • Bodily Injury
    $250,000 Each Person / $500,000 Each Accident

    Property Damage
    $100,000 Each Accident

    Personal Injury Protection
    $10,000 Each Person

    Uninsured Motorist - Non Stacked
    $100,000 Each Person / $300,000 Each Accident

    Comprehensive
    $1,000 Deductible

    Collision
    $1,000 Deductible
I got the quote for Travelers from AAA Insurance, but you can, of course, go thru the companies.

~Danielle

p.s. I live in Florida, my car is almost 3 years old, and I'm single. So, rates are higher than most people. :)
Three-funder with a tech tilt.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by vtkb » Wed Mar 15, 2017 5:55 pm

You can always try calling your insurance company (GEICO/USAA/whoever) and seeing if they can beat or match the new quoted premium from the company you are considering switching to. I've done this with GEICO after they raised the rates and they were able to keep me happy so I stayed with them. Granted you have to be willing to walk away if they do not agree but its worth a shot.

ps- Ive also tried this with FIOS after my initial one year teaser fee, and they wouldnt budge. I switched to Optimum who paid my FIOS cancellation fee for me, and gave me better rates locked for 2 years, no annual contract. For the past 6 months I've been getting promotional "we want you back" flyers from FIOS. Had they just offered me the promotion in the flyers when I threatened to leave, I would've stayed with them. Their loss.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by perl » Wed Mar 15, 2017 7:06 pm

LOL. On the other hand, I am still with Liberty for home insurance: I researched Geico's underwriter and did not like it one bit. I cannot describe Liberty in allowed words either: yearly premium in 2004 was $400; yearly premium in 2017, $1,100. In a deflationary environment... yeah, right. I am paying for someone else's hurricanes while I have had no claims.
Paying for other people's hurricanes by pooling risk is the entire point of insurance.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by LarryAllen » Wed Mar 15, 2017 8:37 pm

neilpilot wrote:
LarryAllen wrote:
Sconie wrote:I had used USAA for insurance for decades but finally got to the point of pulling away from them. Simply, USAA is not the same company that they used to be.

Presently with Geico for auto & umbrella and Ameriprise via Costco for homeowners insurance. So far, so good.
Does your umbrella cover your homeowners as well? In my experience you have to buy together, no?
Actually, no. My home is not with GEICO, just my auto & umbrella. GEICO's home quote was just way too high. This maybe company dependent, but it works with GEICO.
Ok, but you confirmed with your umbrella that it covers you on your homeowners? You need to have the umbrella there because there can be huge liability through your homeowners. I would look into your plan a little more than just premiums as you could end up with a big hole in your coverage. I would double check if I were you.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by neilpilot » Wed Mar 15, 2017 8:56 pm

LarryAllen wrote:
neilpilot wrote:
LarryAllen wrote:
Sconie wrote:I had used USAA for insurance for decades but finally got to the point of pulling away from them. Simply, USAA is not the same company that they used to be.

Presently with Geico for auto & umbrella and Ameriprise via Costco for homeowners insurance. So far, so good.
Does your umbrella cover your homeowners as well? In my experience you have to buy together, no?
Actually, no. My home is not with GEICO, just my auto & umbrella. GEICO's home quote was just way too high. This maybe company dependent, but it works with GEICO.
Ok, but you confirmed with your umbrella that it covers you on your homeowners? You need to have the umbrella there because there can be huge liability through your homeowners. I would look into your plan a little more than just premiums as you could end up with a big hole in your coverage. I would double check if I were you.
I'm smart enough not to carry umbrella coverage that would exclude excess homeowner liability. I just happened to receive my GEICO umbrella renewal yesterday and I actually read my policy. It clearly requires all of my autos to have primary insurance through GEICO. While I also must maintain specified minimum required primary liability insurance limits on my boat ($100k) and home ($300K), coverage is not required to be through GEICO.

As an aside, while you can buy 3rd party home insurance through a GEICO agent, GEICO does not underwrite homeowners insurance.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by sunny_socal » Thu Mar 16, 2017 8:35 am

I have USAA, 3 vehicles and one trailer: $4k/yr
Called Geico: $2900/yr!

Same coverage, indeed Geico is slightly better on the trailer (we're covered on a campground fire, for example, or theft of personal property up to 5k)

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by North » Thu Mar 16, 2017 9:48 am

I had a claim with Geico about a year ago and they were fantastic. My son's car was parked in front of his house (away at college) and got creamed by a drunk driver. Geico had him a rental a few hours after it got hit, totaled the car and gave me DOUBLE the blue book value (score!!) and allowed me to use the lower uninsured motorist deductible on my policy (initially a hit and run, but the guy came back the next day and fessed up - lower deductible saved me another $500.)

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by BruDude » Thu Mar 16, 2017 10:04 am

I just switched from Liberty Mutual to Geico and went from $291/mo for two cars $250/500/100k with $2500 deductible on comp/collision to $129/mo for the same two cars with $300/500/100k and $100 deductible on comp and $1000 on collision. Thanks to OP for posting this otherwise I probably wouldn't have even thought about it.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Hanksmoney » Thu Mar 16, 2017 10:15 am

sunny_socal wrote:I have USAA, 3 vehicles and one trailer: $4k/yr
Called Geico: $2900/yr!

Same coverage, indeed Geico is slightly better on the trailer (we're covered on a campground fire, for example, or theft of personal property up to 5k)
That's great! Saving money on insurance is a great feeling - it just leaves me wondering why I didn't do it sooner. I recommend spending 30 minutes talking to Amica - I wrote something about them a few posts up. You might save more, but you get top quality insurance.

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sunny_socal
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by sunny_socal » Thu Mar 16, 2017 5:09 pm

Hanksmoney wrote:
sunny_socal wrote:I have USAA, 3 vehicles and one trailer: $4k/yr
Called Geico: $2900/yr!

Same coverage, indeed Geico is slightly better on the trailer (we're covered on a campground fire, for example, or theft of personal property up to 5k)
That's great! Saving money on insurance is a great feeling - it just leaves me wondering why I didn't do it sooner. I recommend spending 30 minutes talking to Amica - I wrote something about them a few posts up. You might save more, but you get top quality insurance.
I haven't switched yet. I talked to my wife, she balked. "Don't be cheap, USAA is the best!" Our compromise: she'll remain on USAA with her car, I'll get Geico for everything else :? (she hates change)

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by sharpjm » Thu Mar 16, 2017 5:24 pm

When I had Geico many years ago my rates would consistently rise. I had no at fault claims with them but at one point my car was towed and the towing company destroyed the rear differential by towing an AWD car with only 2 wheels rolling. Geico seemed to do very little to try to recover my deductible and their own money from the towing company. Between that and rate rises I decided to switch and went with progressive. Progressive has been good and rates have gone down over time actually. About a year ago the premium actually went up about $15/month and I called and asked why. They updated some stuff and got me a revised quote of 20/month less, so the net was a 5/month savings. I was surprised they were so quick and easy to speak with to get a lower rate. It was almost as easy as when you call the cable company and tell them you're cancelling and switching to a competitor.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by corn18 » Thu Mar 16, 2017 6:07 pm

I just compared my USAA to Geico. Had to drop a lot of coverages down to match the Geico coverages. I could save 28% by switching or $546 a year. But then I have to accept Geico's lower coverage which I do not want to do. So I'm sticking with USAA.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Traveler » Thu Mar 16, 2017 6:59 pm

Geico does seem to raise my rates each year, but I always check around and they're still the lowest so I stick with them. Combined with my condo insurance, I think I save several hundred per year.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by neilpilot » Fri Mar 17, 2017 11:34 am

sunny_socal wrote:
I haven't switched yet. I talked to my wife, she balked. "Don't be cheap, USAA is the best!" Our compromise: she'll remain on USAA with her car, I'll get Geico for everything else :? (she hates change)
If "everything else" includes an umbrella policy, be aware that there will not be excess liability coverage for her car under GEICO's standard umbrella policy.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by rockonhumblepie » Fri Mar 17, 2017 12:17 pm

Here comes the spring training curve ball....How does AARP Hartford stack up against these two?

I've been with Hartford for 10yrs home and auto. Average is $300.00yr per car and $500.00yr for 400k house.Auto has not went up.Home has risen

$150 bucks in 10yrs. Seattle area with no claims. Happy Patty Day to all :sharebeer

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sunny_socal
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by sunny_socal » Fri Mar 17, 2017 1:10 pm

Didn't switch to Geico after all!

- Initially called and asked for a quote. Yes - I'd had an accident one year ago. No problem, quote still 30% lower than USAA 8-)
- Called to make the switch today, quote still 30% less than USAA. Rep went away to 'finalize' everything, then BOOM - new quote now 25% HIGHER than USAA! :oops:


Oh well, I guess I have a pretty "good deal" where I'm at! :beer

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by stoptothink » Fri Mar 17, 2017 1:16 pm

sunny_socal wrote:Didn't switch to Geico after all!

- Initially called and asked for a quote. Yes - I'd had an accident one year ago. No problem, quote still 30% lower than USAA 8-)
- Called to make the switch today, quote still 30% less than USAA. Rep went away to 'finalize' everything, then BOOM - new quote now 25% HIGHER than USAA! :oops:


Oh well, I guess I have a pretty "good deal" where I'm at! :beer
I get quotes every 6-months, right before we renew (have been with Progressive for a while). GEICO is always the lowest, but then they send me an email saying that there is an issue and then a few hours later I get an email stating they can't offer me insurance because my wife's license is suspended. I think it has happened 3x in a row. She just got it renewed about a month ago, according to the DMV it has never been suspended.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Abe » Fri Mar 17, 2017 1:36 pm

It pays to shop around. My GEICO policy recently went up to $805.00 per 6 months for my car and truck. When I asked for a better price, they said there was no way they could do it for any less. I checked around and received a quote for $650ish for the same coverage wtih another company. When I called GEICO to cancel my policy, they said, "Oh, I see you qualify for our special discount for only $396.00." This was the same coverage that they had just quoted me $805.00 and said there was no way they could do it for any less.

Edited to add: It's been a little over a year since I posted the above. Geico has increased my premium at every renewal date. As of May 27, 2018, my premium is $529 per 6 months with Geico.
Last edited by Abe on Sun May 27, 2018 12:45 pm, edited 1 time in total.
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by flamesabers » Fri Mar 17, 2017 1:39 pm

sunny_socal wrote:Didn't switch to Geico after all!

- Initially called and asked for a quote. Yes - I'd had an accident one year ago. No problem, quote still 30% lower than USAA 8-)
- Called to make the switch today, quote still 30% less than USAA. Rep went away to 'finalize' everything, then BOOM - new quote now 25% HIGHER than USAA! :oops:


Oh well, I guess I have a pretty "good deal" where I'm at! :beer
Maybe the rep forgot to include your accident in the quote the first (and second) time around? Or was it a different rep giving you a quote each time?

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by kd2008 » Fri Mar 17, 2017 3:43 pm

OP, why are you fishing for opinions when you need data?

Your state insurance commission probably publishes typical "standardized" rates for various scenario like 30 yr old male driving 15K miles each year etc

Your Government Helps You Find Lower Auto & Home Insurance Rate

Read the data and see what is best in your area.

GEICO itself has many sub-companies in it. If you have top credit score with little in way of trouble history, they will put you in the best rate bracket and yes, it mostly is half the price of competitors.

Risk mitigation through pooling is a perfected science, ask any actuary.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by jrbdmb » Wed Jun 07, 2017 6:29 am

White Coat Investor wrote:
Rob5TCP wrote:
It's gotten a little better with the discount for owning Berkshire Hathaway.
That's a no brainer. If you're going to use GEICO, buy a share.

How much is the discount?
That sounds great. Do you have $249,000 sitting around you can lend me so I can buy a share? :mrgreen:

BTW, I currently have an NJM policy that I've used with my wife for over a decade. Our rates are doubling after adding a 17 year old driver, so it is time to shop around. I'm not done shopping yet, but GEICO will save me $1200/year.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by fandango » Wed Jun 07, 2017 7:03 am

I have had GEICO auto insurance for 45 years.

Every few years, I shop around and compare rates. No one has come close to beating GEICO. Usually they say they can't beat GEICO early in the conversation.

Customer service is great. Absolutely no problems.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by jharkin » Wed Jun 07, 2017 7:53 am

wolf359 wrote:USAA and Amica have the highest rated customer service in the business. Their claim services are top-notch. I can attest to that for USAA.

I have used GEICO in the past, and thought they were also good (but it's been about 20 years). Clark Howard recently complained on his radio show that GEICO will increase your rates if you have an accident that wasn't your fault, even if the other company covered all the costs. He considered this unfair.
(GEICO was not being singled out for this practice. Apparently Progressive does it as well.)
And similarly I can attest to that for Amica. Ive had them for 20+ years, have had a couple of non-fault auto claims and one decent size homowner claim... never had an issue getting things paid fairly, never had my rates go up due to the claim. My auto rate usually goes down each year on renewal as the car devalues and my homeowners only rises modestly a few % each year.

Right now I pay about $500-600 per car per year for basically brand new 30-40k vehicles with full boat everything coverage (250/500 liability, 100k propery damage, max under/uninsured, full collision and comprehensive with low deductables, rental coverage, etc). Maybe Geico can beat this by a little bit, but Im happy with Amica and dont feel like going thought the hassle to save a couple hundred.

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Re: GEICO auto rates vs. USAA: too good to be true?

Post by White Coat Investor » Tue Jun 13, 2017 4:00 pm

jrbdmb wrote:
White Coat Investor wrote:
Rob5TCP wrote:
It's gotten a little better with the discount for owning Berkshire Hathaway.
That's a no brainer. If you're going to use GEICO, buy a share.

How much is the discount?
That sounds great. Do you have $249,000 sitting around you can lend me so I can buy a share? :mrgreen:

BTW, I currently have an NJM policy that I've used with my wife for over a decade. Our rates are doubling after adding a 17 year old driver, so it is time to shop around. I'm not done shopping yet, but GEICO will save me $1200/year.
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Skyflyerman » Fri May 25, 2018 8:25 pm

k4carbon wrote:
Tue Mar 07, 2017 11:07 pm
I have been with USAA for decades and use them for home, auto, valuable personal property, and umbrella liability insurance. I think USAA has different internal insurance companies with different fee structures depending upon your membership type. I was active military and reserve officer. I have the USAA "savings account" with approx. $10K in it that USAA has paid into each year and I usually get a $150 -$250 distribution each year depending on their profitability previous year. These factors make USAA insurance fees more reasonable and their service is fantastic.
I am surprised that most posts are focused on just premium cost rather than value or ease of settlement or how the company treats people who can sue you! I'm not promoting USAA (though I've been with them since 1976). If you pay 15% or 25% or 50% less with this or that company, what does that matter if they won't take care of the person you have an accident with, or you post-accident? USAA excels at policy processing/service. I accidentally backed into another car that was parked right behind my driveway. $2,000 loss. The guy was so impressed with how he was treated by USAA, he was planning on insuring with them. I didn't have to do a thing other than make one call...they did the rest.

On the other hand, my older truck was slammed into by an under-insured driver who was reckless. $2,500 damage. Dealing with GEICO was a nightmare over poor responses, handing off my claim to new adjusters every 6 months, under playing my claim and screwing up the numbers in the settlement letter, when it did get resolved 18 months after the accident!!! If this is how GEICO does business, I'm glad to pay 15% (if that) to USAA to be treated like a VIP.

My time/my life is worth more than saving a few bucks on a premium. I spent more time on the phone and in emails and letters with GEICO in those 18 months trying to get my settlement money than I have in 42 years with USAA!!! That's a fact!

Bacchus01
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Bacchus01 » Sat May 26, 2018 6:01 am

After reading this thread I did an online quote for Geico. Wow! I had not previously shopped around much, but now we have a 16 year old driver on the house and our rates have skyrocketed with Allstate. Geico looks like it will be at least 60% less.

Now I need to figure out homeowners. What do people recommend?

UpperNwGuy
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Location: Washington DC

Re: GEICO auto rates vs. USAA: too good to be true?

Post by UpperNwGuy » Sat May 26, 2018 6:32 am

Bacchus01 wrote:
Sat May 26, 2018 6:01 am
After reading this thread I did an online quote for Geico. Wow! I had not previously shopped around much, but now we have a 16 year old driver on the house and our rates have skyrocketed with Allstate. Geico looks like it will be at least 60% less.

Now I need to figure out homeowners. What do people recommend?
I have heard that Geico doesn't write its own homeowners insurance, just auto and umbrella insurance, so you're really dealing with a mystery insurance provider if you go through Geico. I have used State Farm.

RickBoglehead
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by RickBoglehead » Sat May 26, 2018 6:39 am

Price is nice, but SERVICE is important. Price USAA (if you qualify) and AMICA to compare. We've been with AMICA for nearly 40 years and their service cannot be beat.

neilpilot
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Location: Memphis area

Re: GEICO auto rates vs. USAA: too good to be true?

Post by neilpilot » Sat May 26, 2018 7:54 am

UpperNwGuy wrote:
Sat May 26, 2018 6:32 am
Bacchus01 wrote:
Sat May 26, 2018 6:01 am
After reading this thread I did an online quote for Geico. Wow! I had not previously shopped around much, but now we have a 16 year old driver on the house and our rates have skyrocketed with Allstate. Geico looks like it will be at least 60% less.

Now I need to figure out homeowners. What do people recommend?
I have heard that Geico doesn't write its own homeowners insurance, just auto and umbrella insurance, so you're really dealing with a mystery insurance provider if you go through Geico. I have used State Farm.
The home insurance GEICO will quote includes the name of the underwriter, and they typically use more than one depending on the location. So the carrier is not a mystery. I recently had GEICO quote home insurance before I renewed with Farmers, and they were a few hundred $$ lower but I declined since I didn't want coverage with their underwriter, which was not a mystery.

pshonore
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by pshonore » Sat May 26, 2018 10:32 am

RickBoglehead wrote:
Sat May 26, 2018 6:39 am
Price is nice, but SERVICE is important. Price USAA (if you qualify) and AMICA to compare. We've been with AMICA for nearly 40 years and their service cannot be beat.
Amen to that. GEICO has a reputation in the industry for cutting corners on claims. Unfortunately unless you know your way around an auto body shop you will probably not know how to recognize that. Of course if you never have a claim, it won't matter

UALflyer
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by UALflyer » Sat May 26, 2018 11:37 am

RickBoglehead wrote:
Sat May 26, 2018 6:39 am
Price is nice, but SERVICE is important. Price USAA (if you qualify) and AMICA to compare. We've been with AMICA for nearly 40 years and their service cannot be beat.
I've experienced a couple of auto claims with AMICA and was rather disappointed. In one case in particular, their handling of the claim was so bad that I had to get our state involved. Our state tends to be very reluctant to do anything about the auto insurance complaints, but in that particular case AMICA's conduct was so egregious that they did actually get involved.

You also need to compare the contractual coverage. On the homeowner's side, USAA, at least in our state, does not offer more than $10,000 in water and sewer backup coverage, which is absolutely pathetic and would leave most people woefully underinsured. This is the reason that I've never used USAA, as although they do have a reputation for solid claims handling, it doesn't help you when the contractual coverage includes unacceptably low coverage limits.

If you want better contractual coverage, you need to go with companies like Encompass or Cincinnati, which specialize in higher end coverages, and offer contractual options that you can't get at regular insurance companies. For the best contractual coverage, you'd go with a high end carrier, like Chubb, etc..., which specialize in the high end market, but offer the types of contractual protections and service that you can't find at mainstream carriers.
Last edited by UALflyer on Sat May 26, 2018 11:45 am, edited 2 times in total.

UALflyer
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by UALflyer » Sat May 26, 2018 11:40 am

UpperNwGuy wrote:
Sat May 26, 2018 6:32 am
I have heard that Geico doesn't write its own homeowners insurance, just auto and umbrella insurance, so you're really dealing with a mystery insurance provider if you go through Geico. I have used State Farm.
GEICO is an auto insurance company. If you want homeowner's coverage, you go through their insurance agency, which is exactly like going through any other independent agency. Just like any other insurance agency, they can sell you coverage through a number of insurance carriers, so there is no mystery about the insurance carrier. You just have to understand that on the homeowner's side, GEICO simply acts as your independent insurance agent.

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jharkin
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by jharkin » Sat May 26, 2018 4:36 pm

UALflyer wrote:
Sat May 26, 2018 11:37 am
RickBoglehead wrote:
Sat May 26, 2018 6:39 am
Price is nice, but SERVICE is important. Price USAA (if you qualify) and AMICA to compare. We've been with AMICA for nearly 40 years and their service cannot be beat.
I've experienced a couple of auto claims with AMICA and was rather disappointed. In one case in particular, their handling of the claim was so bad that I had to get our state involved. Our state tends to be very reluctant to do anything about the auto insurance complaints, but in that particular case AMICA's conduct was so egregious that they did actually get involved.

That's odd. I have nothing but stellar service with Amica. Hit and run driver totaled my brand new car years ago and they paid no questions asked. Tree fell on my garage destroying the roof and severely damaging the cars inside and they paid no question asks. Didn't raise my premium a dime in either case.

I also pay less than a grand /yr total for full boat max liability/collision/comp on 2 late model cars ('14 and '17) and $300 for $2MM umbrella. Doubt GEICO can beat that by much...

jalbert
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by jalbert » Sat May 26, 2018 4:46 pm

Also be careful with how different insurance companies value a car to determine total loss in an accident. Some use wholesale or private party sale values, but some, including State Farm use replacement cost of a similar car from a dealer, I.e. dealer retail. You may not need or want to pay for the latter level of coverage, but comparing auto insurance rates can be less of an apples-to-apples comparison than you may expect.
Index fund investor since 1987.

seawolf21
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by seawolf21 » Sat May 26, 2018 6:44 pm

pshonore wrote:
Sat May 26, 2018 10:32 am
RickBoglehead wrote:
Sat May 26, 2018 6:39 am
Price is nice, but SERVICE is important. Price USAA (if you qualify) and AMICA to compare. We've been with AMICA for nearly 40 years and their service cannot be beat.
Amen to that. GEICO has a reputation in the industry for cutting corners on claims. Unfortunately unless you know your way around an auto body shop you will probably not know how to recognize that. Of course if you never have a claim, it won't matter

Interesting point. People do mention Geico claims service may be worst but I wouldn’t know. Had Geico for 15+ years for auto and never had file a claim. I can’t imagine paying more year after year with another company for superior service which hopefully one would never use. Despite having Geico I still shop every year and every year no one even come close. Some competitor premiums were $1k more per year. If I had went with the other guy’s more superior service, I would have been out $15k by now with nothing to show for it.

rgs92
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by rgs92 » Sat May 26, 2018 7:29 pm

So has anyone had claim service from GEICO (or State Farm or Progressive) and was it OK? Thanks.

neilpilot
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by neilpilot » Sat May 26, 2018 7:42 pm

rgs92 wrote:
Sat May 26, 2018 7:29 pm
So has anyone had claim service from GEICO (or State Farm or Progressive) and was it OK? Thanks.
Only a windshield replacement, so nothing challenging. I used the Geico App and i was a snap.

rgs92
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by rgs92 » Sat May 26, 2018 11:35 pm

Thanks neilpilot. Well, I see no other horror stories about GEICO here in this thread, so I suppose that's good news...

Savio
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by Savio » Sun May 27, 2018 10:28 am

I'm AD military. Just ran quotes with Geico and USAA and they were about the same.

Sticking with USAA.

drzzzzz
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by drzzzzz » Sun May 27, 2018 8:19 pm

We have had two claims with Geico in the last few years which were both within a month of each other and to the same car - the first claim was because a car backed into ours in a parking lot that was unwitnessed and the other was a deer that hit the front of the car. Geico was easy to work with, recommended the auto body shop, and everything was handled quickly, smoothly, and to our liking. No increase in premiums and they reduced the required deductible since it was an accident in a lot.

9liner
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by 9liner » Sun May 27, 2018 8:33 pm

Two claims with Geico in the the last two years. Both went about as smooth as you could expect. In one instance, our deductible was refunded because the other driver was deemed "at fault". In the second instance, the at fault party was also a Geico customer so we were not responsible for the deductible.

I have found that USAA and Geico vary significantly depending on your state of residence. When I was stationed in Alabama, nobody could touch USAA. As soon as I returned home to Maryland, no other company has been able to come close to Geico. All in all, we have been happy with our service with Geico.

mickroark
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Re: GEICO auto rates vs. USAA: too good to be true?

Post by mickroark » Sun May 27, 2018 8:55 pm

Funny Geico has the highest quotes I get from the top 8 insurance companies. Plus they are rude on the phone. Must be my good looks :sharebeer

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