GEICO Spends How Much on Advertising Car Insurance?
If you’re like me, you see at least 1 billboard, hear two radio commercials, and see 3 commercials a day letting you know GEICO has agents in Massachusetts.
They spend a lot of the money you “save” on ads ($1.2 Billion), how does that make sense? You can read more about Geico’s Marketing Strategy Through Advertisements here.
You have all heard that ads recently in Massachusetts if you listen to the radio. GEICO has local agents!
Wow, great! They never mention they only have 2 and their rating are subpar at best. GEICO is the #2 buyer of advertising according to the most recent data.
Also, check out: Allstate, GEICO had most ‘talk-worthy’ advertising in 2018 study (Most ‘talk-worthy’ not most competitive).
If you ever want to check out these so-called “Local GEICO Agents” just check out their 1.7 average star review on Google Business.
I compete with GEICO by offering better-priced companies like Metlife, Safeco, Concord, and Progressive. That’s why I’m going to tell you to go ahead and get a GEICO car insurance quote first.
I am able to find existing customers of GEICO car insurance for at least 20% in most situations and I have been able to “Find a Lower Price” 80% of the time.
Geico Car Insurance Quote Massachusetts 2020 Comparions Guide
I had Travelers Insurance for the past 3 years and carrier $500,000/$500,000 at the time because their prices warranted it, but I only really needed $100,000/$300,000. I was in a situation I was having my price go up from $1197 to $1575 a year (which is still a great price). I decided I was ready to move my policy.
So for comparison purposes, I quoted myself. I have the following situation:
2 Full Coverage Vehicles: 2015 Corolla and a 2011 Mazda 3 full coverage $1,000 collision $1,000 comp.
$100,000/$300,000 optional bodily injury
$100,000 Property Damage
GEICO vs Progressive vs Travelers vs Plymouth Rock
I’m not going to spend much time here talking about my Progressive quote. It was much higher than GEICO, Travelers, and Plymouth Rock in the tune of over 100% annual pay in full price of $2,988.00. Sorry, too expensive for me.
How was GEICO’s quote? So I just went back into my GEICO quote and I specifically remember they were trying to remove my full coverage from our 2011 Mazda which doesn’t even have 80k miles (I’m glad I checked!).
Now I find that to be a little tricky, especially as they highlight it as “Option 1” on the buying options tab because it’s the “Cheap Quote“. I have companies willing to give me full coverage for less than they’ll give me just basic liability coverage.
So when the dust settled and I figured out and adjusted to the quote I actually wanted here were the prices.
So the GEICO policy to “Start Your Policy Today” for $136.75 down and 5 Monthly Payments of $136.75 each bring the 6 Month Total Policy Premium to $790.50 ($1,581. annual premium)
If I wasn’t a licensed independent agent who knows what he’s doing, I might have “Saved $79.05” off my premium when I pay in full.
GEICO told me my 6 months paid in full premium is $790.50 ( $1,581. annual premium ) which isn’t terrible for 2 cars with full coverage. It’s actually a respectable rate considering we have a not-at-fault accident for each of us. (I’m paying $1,057 with Accident Forgiveness!!)
The downside to 6-month policies with companies like GEICO and Progressive is they have the ability to “RERATE” you every 6 months. Thereby changing the price you pay and making you a more profitable customer to them.
GEICO Pros – They have an easy quoting process and a great app. Their prices are competitive and they have great brand recognition.
GIECO Cons – They have been known to run MVR reports after you’ve started the policy leading to higher-than-quoted rates. Some people refer to the tactic as the old “bait and switch”.
They are one of the largest insurance companies in the state which makes them adversely effected by high claims and bad drivers. They do not offer accident forgiveness.
Conclusion: Geico car insurance phone number 800-207-7847 call them and get a rate then call us 774-847-7746 to compare.
Can You Find a Cheaper Rate Than GEICO?
YES, I saved $365.90 a year and got accident forgiveness (GEICO doesn’t offer accident forgiveness in MA or CT). According to their website *Not available in CA, CT and MA; purchasable product not available in all states. **Free Accident Forgiveness applies to qualified drivers who have been accident-free for five years or more. It may not apply to drivers under 21 years of age.
If I opt for a 6-month, semi-annual policy and something happens I don’t have to worry about the price adjusting till the annual renewal. This means if you are in a Not-at-Fault accident GEICO can raise your rates after 6 months. GEICO does actually offer 12-month policies by not online. The same is true with Progressive.
Many carriers including Plymouth Rock are now starting to rate against not-at-fault accidents. This is part of the reason I and many others, opted to go with a local Massachusetts insurance company who offered better rates and annual policies. This is part of the reviews many existing GEICO car insurance customers are searching actively for “Geico auto insurance alternatives ma“.
They use a lot of new business discounts to buy up market share then you start to see your rates rise every 6-month renewal. Even if you were a good driver, responsible, and didn’t file a claim. GEICO, at times, can insure a lot of bad drivers in the state and when they file claims, your rates suffer on renewal.
I know it sounds unfair. That’s why when you work with an independent agent you don’t have to worry about all these marketing gimmicks and you can let us worry about keeping your rates low. Text your license number to 774-225-0599 and you’ll have a quote with less than 2 minutes worth of work.
Switch Car Insurance Company Travelers vs Plymouth Rock vs GEICO vs Progressive
I made the final purchase for a pay in full policy with Plymouth Rock and I’m happy with my decision paying on $1,057 for the year. I plan on bundling my condo policy with them as well since Bunker Hill has a great rates for condos.
Travelers was a great company for me, their claims people were wonderful and I have to say they were the best priced insurance carrier for me for many years. Once I hit the 3 year mark my rates started going up, that is a trend with insurance companies. They need to make back the money the put to out acquire you as a customer.
Progressive is a great, highly-rated and socially-responsible insurance company and I place a lot of customers with them. They rate against glass claims and not-at-fault accidents (my wife had 2 in the past 5 years). For that reason, their prices were adjusted and they didn’t make sense for me. If you are claims free Progressive insurance is an excellent choice.
Plymouth Rock had the best price for car insurance in MA for me for a few reasons.
I own a home or condo
I carried $250,000/$500,000+ coverage limits when I switched
I had been with my carrier for 3 years at the time of the insurance switch
I agreed to bundle my condo insurance for additional savings
Your results will vary in price from carrier to carrier. I help people find the company that will give them the best rate even if they have a very complicated situation. If you want a professional to help you make better and more affordable car insurance decisions, text or call me 774-225-0599 and ask for Brian.
What you need to drive in MA (Massachusetts State Minimums for Auto Insurance)
Basically, the state “compels” or requires you to carry insurance. You can’t drive without it. You need full coverage if you’re financing a vehicle. Most finance companies you carry at least $1,000 for comprehensive and $1,000 for collision deductibles.
The first piece is compulsory bodily injury liability (bodily injury to others) which protects you against legal liability for the accidental injury or death of others (but not your passengers) caused by the operation of your car, but only if the accident occurs in Massachusetts.
The required amounts aren’t very high and most consumer elect for higher amounts of insurance like $100,000/$300,000 for optional bodily injury.
$20,000 Bodily Injury (BI) Per Person Per Accident.
$40,000Bodily Injury (BI) Per Person Per Accident.
$5,000 Property Damage (PD)
$8,000 PIP (Personal Injury Protection)
Also, make sure you double check your GEICO insurance quote to make sure you have a “$0 PIP Deductible” I’ve come across policies that have an $8,000 deductible which means you would have to pay that if you had medical bills resulting from the accident.
Just keep in mind if you get a GEICO insurance quote and it seems low, they may have not run your MVR report.