abhay (04/11/83)
The GEICO insurance rates for auto seems very attractive. Does any one have any experience with them regarding their claim service. Do they dump you if you make a claim? Thanks in advance. abhay
welsch (04/12/83)
I had GEICO insurance since I started driving until the state of N. J. and GEICO had a disagreement and GEICO stopped selling in the state of N.J. My insurance rates promptly tripled for less coverage. I never had trouble renewing my policy and I can remember one year after a spare tire was stolen, my claim was larger than my insurance bill. My rates did not go up. GEICO was slow in settling, but there weren't any problems. My father also had GEICO and he never had any problems. We had a joy ridden car fixed, and some theft claims. At the time GEICO lost its license in N. J. the company had financial troubles. The reason GEICO lost its license was because GEICO refused to sell insurance to people in the state's "high risk" driver's pool. Today, I would check into GEICO's financial condition and if they were sound, then I would purchase insurance from them. Larry Welsch
prgclb (04/13/83)
A thing that non-N.J. Bell Labs people might consider about GEICO insurance -- if there's any chance that you'll be transferred to a Bell Labs location in New Jersey, don't buy it. Make sure you buy from a company that's licensed to do business in N.J., or else you'll have to buy thru the assigned risk pool. If you do buy from a company that's licensed in N.J., they'll most likely transfer your existing policy to a New Jersey form. Carl Blesch Bell Labs - Naperville, Ill. IH 2A-159, (312) 979-3360 ihuxm!prgclb
welsch@houxu.UUCP (06/18/83)
I owned GEICO Insurance in the state of New Jersey and still live in New Jersey. I was very happy with GEICO and my father who owned GEICO before me was likewise very happy. At the time that GEICO left the state of New Jersey, GEICO was in serious financial trouble and felt they could no longer do business in New Jersey for a profit. The lack of profitability was due to the auto insurance laws enacted in New Jersey. Many other auto insurance companies feel the same way about New Jersey and auto insurance in the state of New Jersey is difficult to purchase today. Insurance agents have told me that the only reason many companies still sell auto insurance is so that they can sell other types of insurance, such as home owners or life. When GEICO left a number of insurance companies were willing to sell me auto insurance as long as I bought another more profitable insurance policy from them. When my mother joined me in the state of New Jersey two years ago she carried insurance from a company that is licensed to sell in the state. Despite having a good driver's discount where she came from and having a perfect record, no accidents, no tickets, (not even for parking), her company canceled her auto policy. She was forced to use the "pool" (its no longer called assigned risk) to get insurance. In evaluating GEICO it is important to determine their financial health. In 1976 GEICO was in serious financial trouble and nearly went bankrupt. GEICO made the right decision to leave the state. New Jersey's insurance laws screw everybody (especially consumers) but the lawyers! Insurance reform is not in sight. Larry Welsch