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Geico = gouge-co
- Thread starter JackLuminous
- Start date
I’d make a suggestion to anybody regarding insurance—shop around every 6 months no matter how good of a rate you think you may currently have.
Shelburne
Member
There's a Geico commercial on TV every few minutes. Somebody has to pay for all those commercials and that somebody is each & every Geico customer. We bought our M3LR in September of 2020. Previously we had owned a 2017 Volvo S60 Inscription. We also own an ancient Volvo XC70. We've used MAPFRE Insurance for years and when we turned in our S60 & brought home the M3 the monthly premium actually dropped by $2 a month for the same level of coverage. We've only had one accident since we switched to MAPFRE. It was rear end damage to an older Volvo S40 in 2015. There were no issues in getting the repairs done, and all Volvo parts were used. Coincidentally, I have never seen a commercial for MAPFRE on tv.
So far, so good. Most insurance companies have a “new customer discount” they build in to pull you away from your current insurer, and that goes away when renewal comes up. My rates went up 8% on renewal, but still way, way lower than the quote I got from Geico. One of the posts in the thread gave sage advice: shop rates every 6 or 12 months, because most insurance companies rely on “loyalty” or laziness to crank up your rates. Same applies to home insurance, though it’s more paperwork there if you escrow your tax and insurance (some insurers even give a small discount if you escrow).
iwannam3
Active Member
I have heard that insurance agents get a 25% cut of a new policy and only a 10% cut on existing. That's why it is good to check out new companies. don't know if changing frequently affects the rate calculation.
Inspired by this thread to obtain additional quotes (for M3 AWD LR scheduled delivery next week and current 2020 Subaru Outback): All six month and similar beefy coverage here in NY:
Geico: $1566
Travelers: $1100
Progressive $1050
Amica $1260
Been with Geico a decade, but I guess its time to say adios . . .
Paul
Geico: $1566
Travelers: $1100
Progressive $1050
Amica $1260
Been with Geico a decade, but I guess its time to say adios . . .
Paul
Yeah. My Geico rates from my WRX was not that different, maybe $200 a year more? The price do depend on the state.
Mrcarcrazy
In need of a shrinking gun to zap a plaid with.
Just as a comparison point. Married, oldish, clean record. Our 2013 BMW 335 is a few $ more than our 2019 model 3 performance with progressive (Texas).
Another data point saying Geico isn't the way to go for a Tesla... we tried adding a M3LR to our current policy, but they wanted to bump up our cost by $1200. Got a quote with progressive (no bundles or anything) and they quoted around $700 for much better coverage. Probably should have shopped around more... but good enough for me.
I saved 1000 dollars every 6 months by switching away from Geico. So amazed that they jacked up that much and when I spoke to rep they said its because of loss ratio being very high with very high amount of insurance count with them. And that even after probably max credit score you can achieve and no accidents history. Oh well, I am out from them.
I went from 2016 C300 sport 4matic to Model 3 and Geico dropped from $650 to $450 per 6 months. With same full coverage + extra rental car reimbursement coverage. Every insurance company seems to be a hit or miss depending on where you live and other factors.
Geico will hike that rate back up within the next 6-12 months. they always do.
I quoted most of the big insurance companies today as my M3 should be here in the next week, looks like Progressive & Nationwide are the best for me, but they're still $500-600 per year higher than I'm paying now, and my current vehicle is being traded in for $36k, so not much of a value difference there. I guess Tesla's have a higher claim rate? So saving on gas per month, but spending more on insurance...
Those commission rates are high, but yes, agents get more for new business than renewal. Some agents can choose their commission level (like 15% new/10 renew or 8 new/ 6 renew or something in between) and price accordingly. That is why you may want to check with multiple agents as well. A company selling direct (such as GEICO) doesn’t have that.
MidwestM3P
Member
Yeah, State Farm is really great for my Tesla premiums.....I'm paying about $53/month on my 2018 M3P; I was paying around $65/month for the same coverage on my previous car, a 2013 BMW X3, which was worth well less than half of the Tesla.
I keep waiting for State Farm to bump the premiums up, but they haven't in the 2.5 years I've owned it. And I've even had to make a couple of claims over the past year (rock chip in the front roof glass - $1,400, and hammered a pothole - $3,500).
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