2 Major Insurers Raising Auto Rates - A pair of the nation's largest online car insurance companies are raising their rates to offset glucose prices cost of insuring vehicles on America's busier, back-to-work highways and byways.
Filings with the Registration show that Geico, the country's second-largest auto insurer behind State Farm, plans strengthen its premiums after its underwriting profit for site to website quarter dropped $33 million from a year ago, to $160 million.
First-quarter losses and related expenses rose 16.6 nought per cent. The company blamed increased claims frequency and depth.
"As a result, we're implementing premium rate increases as needed," Geico told the SEC.
Improving economy is cited
Meanwhile, Allstate, America's Number. 3 provider of auto insurance, says it will move up rate increases it decided for later this year after its first-quarter auto underwriting income fell 48 percent to $144 million over first-quarter 2014.
Allstate CEO Tom Wilson blamed Allstate's bad news on America's recovering financial system.
"There to become more accidents now over the final couple of years than there tend to be because business activities has risen and take advantage of the are driving," he told Insurance Log. "We and other people have been raising our rates to account for the."
No more 'less than adequate' rates
For years, Geico has far outspent its competition with its ubiquitous gecko, caveman and Maxwell the pig promotional initiatives. In 2013, its ad expenditures doubled what Progressive, its closest competitor, devoted to its trademark Flo method.
While its ad-vantage knowning that 15 percent discount that "everybody knows" have increased Geico's policies-in-force by 39 percent throughout the past five years, the corporation may reach its choke point.
"The auto insurance business is very competitive on the inside areas of price and service," Geico told occurred. "Some insurance companies may exacerbate price competition by selling their products for a time of time well below adequate quotes. GEICO won't knowingly follow that line of attack."
Filings with the Registration show that Geico, the country's second-largest auto insurer behind State Farm, plans strengthen its premiums after its underwriting profit for site to website quarter dropped $33 million from a year ago, to $160 million.
First-quarter losses and related expenses rose 16.6 nought per cent. The company blamed increased claims frequency and depth.
"As a result, we're implementing premium rate increases as needed," Geico told the SEC.
Improving economy is cited
Meanwhile, Allstate, America's Number. 3 provider of auto insurance, says it will move up rate increases it decided for later this year after its first-quarter auto underwriting income fell 48 percent to $144 million over first-quarter 2014.
Allstate CEO Tom Wilson blamed Allstate's bad news on America's recovering financial system.
"There to become more accidents now over the final couple of years than there tend to be because business activities has risen and take advantage of the are driving," he told Insurance Log. "We and other people have been raising our rates to account for the."
No more 'less than adequate' rates
For years, Geico has far outspent its competition with its ubiquitous gecko, caveman and Maxwell the pig promotional initiatives. In 2013, its ad expenditures doubled what Progressive, its closest competitor, devoted to its trademark Flo method.
While its ad-vantage knowning that 15 percent discount that "everybody knows" have increased Geico's policies-in-force by 39 percent throughout the past five years, the corporation may reach its choke point.
"The auto insurance business is very competitive on the inside areas of price and service," Geico told occurred. "Some insurance companies may exacerbate price competition by selling their products for a time of time well below adequate quotes. GEICO won't knowingly follow that line of attack."
