Limu Emu and Doug

chrbla2000

NES Member
Rating - 100%
11   0   0
Joined
Mar 24, 2012
Messages
726
Likes
439
Liberty Mutual is a direct writer, meaning they don’t use independent agents. The only way they can get name recognition is via advertising- like Geico, Progressive and Allstate - all direct writers. For those suggesting they stop advertising, that’s not going to happen. LiMu is like Flo - some people love it, some hate it. Liberty Mutual has had a heavy TV ad presence for the last 15 years. Does anyone remember any of the ads that WEREN’T Emu and Doug? Nope. LiMu Emu isn’t going anyplace because it works - it gets you talking about the brand which is what advertising is supposed to do.
Not only that, but with state mandated minimums these insurance companies are making money on every safe driver out there so they might as well spend it on advertising. Every new customer is a new state mandated revenue stream.

-chris
 

Bob P

NES Member
Rating - 96.8%
30   1   0
Joined
Jul 23, 2008
Messages
11,104
Likes
2,842
Location
Texas
Not only that, but with state mandated minimums these insurance companies are making money on every safe driver out there so they might as well spend it on advertising. Every new customer is a new state mandated revenue stream.

-chris
That’s just Massachusetts though. Liberty is a global company. Also Massachusetts isn’t a profitable market for insurance. The assigned risk pool is brutal.
 

chrbla2000

NES Member
Rating - 100%
11   0   0
Joined
Mar 24, 2012
Messages
726
Likes
439
That’s just Massachusetts though. Liberty is a global company. Also Massachusetts isn’t a profitable market for insurance. The assigned risk pool is brutal.
I'll take your word for the risk pool up here, I have no idea. But... my understanding is that there are only 2 states that don't require some type of auto insurance (NH and VA) these days. I'd guess that there is a high percentage of drivers who never make a claim or get so much as a parking ticket. But, 'because minimums' all these insurance companies are fat.
 

Bob P

NES Member
Rating - 96.8%
30   1   0
Joined
Jul 23, 2008
Messages
11,104
Likes
2,842
Location
Texas
I'll take your word for the risk pool up here, I have no idea. But... my understanding is that there are only 2 states that don't require some type of auto insurance (NH and VA) these days. I'd guess that there is a high percentage of drivers who never make a claim or get so much as a parking ticket. But, 'because minimums' all these insurance companies are fat.
With respect: you’re right, you have no idea. Massachusetts is one of the few with minimums - and they set the max as well by the way. No one gets ‘fat’ off of auto insurance. It’s a margins driven industry. You have an issue with profit? You voting for Bernie? By all means shop for the best deal. That’s capitalism. Don’t blame the f***ed up insurance climate in Massachusetts on the industry, the state DoI sets the rates - max and min.
 

chrbla2000

NES Member
Rating - 100%
11   0   0
Joined
Mar 24, 2012
Messages
726
Likes
439
With respect: you’re right, you have no idea. Massachusetts is one of the few with minimums - and they set the max as well by the way. No one gets ‘fat’ off of auto insurance. It’s a margins driven industry. You have an issue with profit? You voting for Bernie? By all means shop for the best deal. That’s capitalism. Don’t blame the f***ed up insurance climate in Massachusetts on the industry, the state DoI sets the rates - max and min.
No issues with profit and it sounds like you have a better grasp on the insurance industry than I do.

My take is that requiring insurance has inflated the price of everything it touches, auto, home, medical, dental, etc. Buying insurance is like throwing money in a fire, if I had every dollar I'd ever spent on any kind of insurance I'd certainly have a lot more than I've ever paid out for those respective services.

-chris
 

xjma99

NES Member
Rating - 0%
0   0   0
Joined
May 10, 2011
Messages
6,218
Likes
4,727
Location
NH
I have liberty for home, auto, life. They beat out USAA so I’ve been with them for a while.

they have an office in Bedford NH but I never go there. They just call or email me shit, bang, done. I guess I’m a good customer, nothing but a glass claim in the last 15 years!
 

Bob P

NES Member
Rating - 96.8%
30   1   0
Joined
Jul 23, 2008
Messages
11,104
Likes
2,842
Location
Texas
No issues with profit and it sounds like you have a better grasp on the insurance industry than I do.

My take is that requiring insurance has inflated the price of everything it touches, auto, home, medical, dental, etc. Buying insurance is like throwing money in a fire, if I had every dollar I'd ever spent on any kind of insurance I'd certainly have a lot more than I've ever paid out for those respective services.

-chris
I’ve been in the industry since 1985. You are right, a lot of people pay more into it than they take out. On the other hand, if you ever have a catastrophic loss you’re going to take out way more than you paid in. Insurance is a collective risk sharing scheme. If you pay cash for your home, nothing requires that you purchase it. Banks require when loaning money to finance a purchase it as they see the value in it as a way to ensure the collateral of their loan holds its value.

medical and dental insurance are entirely different animals than auto and home. They work differently and are regulated differently as does life and accident.
 
Top Bottom