For Berkshire Hathaway owned GEICO ( NYSE:BRKA ) and Allstate ( NYSE:ALL ), the first quarter of 2015 was a surprisingly poor quarter for their auto insurance businesses. Claims related losses reduced GEICO’s first quarter pre-tax operating income by more than half, falling from $353 million in first quarter 2014 to $160 million this year. Meanwhile Allstate’s underwriting income fell from $183...
For Berkshire Hathaway owned GEICO, the first quarter of 2015 was not pretty. In the company's latest 10-Q filed with the SEC, the insurer experienced a significant jump in its loss ratio (the percentage of premiums spent on loss expenses) for the quarter, going from 75.8% in 2014 to 80.1%. Despite overall growth in premiums written and earned, the spike in claims-related expenses significantly...
Whether you plan to do a custom paint job or add a major modification like a supercharger, customizing your car can have automobile insurance ramifications. According to the Specialty Equipment Market Association, consumers spent a whopping $36 billion in 2014 on automotive specialty equipment parts and accessories. If you're enhancing your car, you may be wondering: Do I need special auto...Read more
To help drivers find the cheapest auto insurance our analysts collected thousands of quotes to identify which companies had the most affordable rates in Nevada. Based on our analysis of 16 insurers, we found that the annual rates differed by almost $2,400 for the benchmark drivers and car between the most expensive and cheapest. There are many factors that influence how insurers determine a...Read more
Families have to proceed cautiously with auto insurance matters affecting young adults, especially considering how expensive coverage can cost for these higher-risk drivers . One related question many policyholders have is: Should I take my insured child off my auto insurance policy when he or she is away at college? In the following paragraphs we will walk you through the consequences and...Read more
Accidents and the insurance claims that follow can have ramifications for drivers, especially if the collision was the fault of the policyholder. This begs the question: Will my auto insurer drop my policy following a car accident? The answer is yes, it’s possible, depending on several factors and circumstances - although it is more likely that your policy will be non-renewed. First, however, it...Read more