I’ve read that GEICO stands for “Government Employees Insurance Company.” Or maybe that’s what it used to mean. Is that an urban legend?
This is not urban legend. Selling only to government employees is how they got their start. At some point they officially became GEICO and started going for the general market.
Their business model is to entice new business with low teaser rates, but even those teaser rates aren’t than low anyway. The last time I checked, GEICO was about the same as what I was already paying.
They probably could offer lower rates if they would just cut back on their advertising budget.
I hope I never see or hear another GEICO commercial.