Progressive Auto Insurance ReviewThursday, 25 July 2013 22:06
Progressive Insurance is currently the fourth largest auto insurer in the United States with over 10 million policy holders and is one of the most widely recognized auto insurance companies with its effective advertising campaigns. Progressive specializes in passenger auto insurance but offers other types of insurance through its partners. It has made numerous innovations in the insurance industry and was the first company to use live price comparisons with competitors to show prospective customers exactly how much they can save. Progressive is a good option to consider for anyone looking for affordable insurance from a well-known, professional and experienced auto insurance company.
Company Background Information
The Progressive Corporation was founded in 1937 and is currently headquartered in Mayfield Village, Ohio. Auto policies are sold through the internet, by phone, and through insurance agents. Progressive is known for its innovation in online advertising and other forms of marketing. It was the first major insurer to offer quotes through its website and use the internet for extensive marketing. Progressive devotes a large portion of the company revenue to advertising and was recently ranked the 23rd out of all corporations in the United States for ad spending.
Progressive, GEICO and some other large insurance providers use a direct to consumer marketing approach as a way to reduce overhead costs and pass some of the savings down to customers. Auto coverage is offered in all 50 states, and the company expanded in 2009 to Australia. It was rated 3 out of 5 in 2013 by J.D. Power for auto claims satisfaction and received an A+ rating for financial strength from A.M. Best along with an “aa” credit rating with a stable outlook and strong operating performance.
Pros of Progressive Car Insurance
- Real time comparison of Progressive rates with competitors
- Recognized, financially stable insurance company
- Unique ways to save money such as the Snapshot Program and others
Cons of Progressive Car Insurance
- Only rated 3 out of 5 for auto claims satisfaction by J.D. Power
- Customer complaints online regarding claims issues
Progressive offers many of the most common discounts that other major insurers provider, along with some exclusive discounts. These discounts are offered and some others:
- Accident forgiveness – if a policy holder is accident free for three years in a row, and has been with Progressive for a minimum of four years, they will not have a premium increase for an at fault accident
- Pay in full – discounts are offered for paying a half year or full year of insurance at once
- Multiple vehicle insurance – insuring multiple vehicles will result in savings
- And many others based on the state, group affiliations, age and other factors
When a customer calls for a quote, the support representative will go through a list of the most common discounts that they might be eligible for in order get the lowest quoted rate possible.
The Snapshot program uses a diagnostic tool to give a rating on a driver’s safety. The program involves plugging in a device into the vehicle’s diagnostic port which takes certain variables such as the number of times the brakes are slammed, the hours that the vehicle is driver, and the number of miles driven, and computes them into a driver safety rating. Policy holders can test out Snapshot to see if the program can save them money before actually enrolling, and it can be cancelled at any time. The program is available in most states and works on most vehicles produced after 1995.
Types of Insurance Offered
Progressive offers auto, motorcycle, truck, boat, RV, and commercial auto insurance. The company also offers renters, homeowners, life, health and umbrella insurance, and recently introduced pet coverage to cover the cost of treating pets that are injured in an auto accident. Some of the insurance products like life and health are not directly supplied by Progressive but through insurance partners.
Name Your Price Tool
Progressive offers a Name Your Price tool that allows prospective customers to pick a maximum price that they would be willing to pay for their insurance. After a price has been selected the tool comes up with a unique policy for the customer that is the same price or close to the named price. The auto insurance package can be adjusted for the customer’s needs. The Name Your Price tool can be useful for auto insurance seekers who have a specific maximum amount that they can afford, but in some cases the coverage may only meet the state’s minimum liability requirements and not have all the coverage that a customer may want or need.
Progressive Service Centers
Progressive’s select service centers allow for easy vehicle repairs and is intended to make claims processing as simple as possible. The vehicle only needs to be dropped off at the center and picked up when ready, and Progressive handles all of the paperwork. Their service centers are an average of two days quicker than non-approved centers, and repairs on vehicles serviced are guaranteed as long as the vehicle is owned.
Customers have posted some negative reviews of Progressive online that report negative experiences such as unexpected out of pocket costs, difficulties with vehicle repairs, premium increases, and other issues. Auto insurance customers often have negative experiences with claims processing regardless of the insurance company, but the 3 out of 5 star rating from J.D. Power may suggest that customer satisfaction with Progressive is only average. There are also many customers who have had positive experiences with Progressive and have stayed with the company for many years.
Car insurance shoppers should consider getting a quote from Progressive because of the numerous discounts offered and the price comparison with other competitors. With the price comparison, shoppers will see how much money they can save with Progressive compared to other insurance providers. Progressive’s unique insurance discounts such as the Snapshot program among others cannot be found at many other companies and may result in substantially reduced premiums. To view quotes for auto insurance now, you can enter your zip code on this page and compare rates from Progressive and other providers.
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|Market Share||Ranked 4th|
|AM Best Score||A+|
|JD Power Rating||3 out of 5|
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