Unethical GEICO

[insurance_legalscam]

Few days ago, I called GEICO;my insurance company to ask some general question that if someone's vehicle is hit in parking lot and it is not known who did it, how that will be dealt with the insurance company?

I didn't know that my call was transferred to claim department and my question was filed as a claim on my policy. Today, very first time, I got call from GEICO and they left voice mail message informing they are trying to reach me and their multiple attempts were unsuccessful (this was the first call I got). There is a claim filed on my policy and I need to contact them immediately.

I called them back and found that my general question earlier was filed as a claim. I was really upset and asked who authorized to file this claim. I know I didn't as a policy holder. He said, my insurance contract automatically authorizes insurance company to file claim whenever they suspect or find base.

I explained that I called just for some general questions and there is no loss, accident or any incident to report. I would not have thought that my call is 'a claim.' Agent said, "there is nothing general or hypothetical in insurance world. Every question is dealt as real threat and reported on client profile."

This is weird and I am afraid to call my own insurance company for any question. I told the agent there is nothing to report and it was just a general question. He started interrogating and said, that I am trying to hide something. I even told if there was any thing, I would have reported myself but there is nothing happened.

Moreover, claim agent was really rude and offensively he implied that I am 'liar' and trying to hide something. I honestly lost my very little trust on insurance companies.

I am very concerned about this preemptive move on GEICO's part to file a claim. We all know these insurance companies are crooks and sucking blood every possible way. I believe this was another attempt from GEICO to file a phony claim on my behalf so at my next renewal they can raise my rates.

The purpose of writing this in a forum is to be aware of the contract. I think, we are living in a system where insurance is a necessary evil and these companies are not only robbing people, but also mistreating as well. I am thinking about filing a complain with Attorney General's office or other department. Can someone suggest, what can be done in this situation?

 

[Guest]

WOW, us how you really feel,

First of all, you ask a claim question, so common sense should tell you they will send you to the claims dept and not somewhere else like the billing dept.

Second, claims are filed everyday and then closed with a zero payout which means nothing basically.

Not all insurance companies are crooks and sucking blood every possible way.

So, you are getting what you paid for and if you would have gone thru an agent, you would have some one to talk to more or less, "off the record"

An agent is most important at claim time, we will hold your hand if need be, explain things to you if you dont understand.....

Funny, you come to a forum full of insurance agents, and there are VERY FEW Geico agents around.

So, take a chill pill and relax, you should be able to close this claim with no affect to yourself or your claim history

 

[Hefe]

It bugs me when people call insurance companies or agents crooks and justify it by saying they're trying to make money. No one gets on mcdonalds case for making a bunch of money or charging more than their own cost for a product. No one complains when they order an iPad and don't get an iPhone also at the same cost. But with insurance, its as if our companies are supposed to provide their services out of the goodness of their heart and if they ever deny a claim, even according to the contract, they're crooks.

OP, you sound like you need an agent other than a call center type carrier. As RBA said, you also need to relax because a $0 claim won't count against you. But if you think we're all crooks, why don't you post your bond or whatever your state requires to waive the auto insurance requirement. Auto insurance isn't a necessary evil, its a benefit to protect you from a financial loss. It's not a requirement.

 

[djs]

Take a step back for a moment, there is nothing wrong with what Geico did. Let me explain a bit...

- Few people call and ask truly hypothetical questions. They call and ask, but its usually related to a real incident. I know, I answer these all the time.
- A claims question will ALWAYS go to the claims department at a large company. A claims department will always open a claim. It's really not a problem, but they have to.
- Having a claim filed is not an issue to you. A lot of people miss this point, but don't confuse a claim opened and not paid with a claim that has a payout. Its the payout that you want to make sure happens only when appropriate. You don't really care about the claim itself.
- Anyone can open a claim on your policy. It doesn't have to be 'authorized'. This might sound strange, but its very true. I can call Geico and file a claim on your policy (if I had your policy number). Geico would get my side of the story and then contact you to get your side of the story, which would be 'Huh? Never heard of him, nothing happened.' They would then send me a denial letter for my claim.

To answer your original question though, if you have collision coverage on your car, the carrier will pay to fix your car, but you'll have to pay the deductible. They will not be able to recover your deductible due to not knowing who hit your car. In California, any deductible waiver would not apply, since you don't know who hit your car, other states may be different.

Dan

 

[rousemark]

Few days ago, I called GEICO;my insurance company to ask some general question that if someone's vehicle is hit in parking lot and it is not known who did it, how that will be dealt with the insurance company?

I didn't know that my call was transferred to claim department and my question was filed as a claim on my policy. Today, very first time, I got call from GEICO and they left voice mail message informing they are trying to reach me and their multiple attempts were unsuccessful (this was the first call I got). There is a claim filed on my policy and I need to contact them immediately.

I called them back and found that my general question earlier was filed as a claim. I was really upset and asked who authorized to file this claim. I know I didn't as a policy holder. He said, my insurance contract automatically authorizes insurance company to file claim whenever they suspect or find base.

I explained that I called just for some general questions and there is no loss, accident or any incident to report. I would not have thought that my call is 'a claim.' Agent said, "there is nothing general or hypothetical in insurance world. Every question is dealt as real threat and reported on client profile."

This is weird and I am afraid to call my own insurance company for any question. I told the agent there is nothing to report and it was just a general question. He started interrogating and said, that I am trying to hide something. I even told if there was any thing, I would have reported myself but there is nothing happened.

Moreover, claim agent was really rude and offensively he implied that I am 'liar' and trying to hide something. I honestly lost my very little trust on insurance companies.

I am very concerned about this preemptive move on GEICO's part to file a claim. We all know these insurance companies are crooks and sucking blood every possible way. I believe this was another attempt from GEICO to file a phony claim on my behalf so at my next renewal they can raise my rates.

The purpose of writing this in a forum is to be aware of the contract. I think, we are living in a system where insurance is a necessary evil and these companies are not only robbing people, but also mistreating as well. I am thinking about filing a complain with Attorney General's office or other department. Can someone suggest, what can be done in this situation?

Sure glad you aren't my client and if your attitude had come through during the application interview, i would have told you to keep your money and go elsewhere. File a complaint with whomever you want . The laughter you hear will be at you, not with you.

 

[sman]

We all know these insurance companies are crooks and sucking blood every possible way.... these companies are not only robbing people,

Crooks, sucking blood and robbing people. Did I cover everything there? Tell me, what happens when you have a loss, do they pay? Wouldn't a crook not pay?

I have a friend whose home burned down 4 years ago. The insurance company paid out a total of $1.3 million to cover the rebuilding of the house and to replace the contents along with one of his vehicles. I've never had a blood sucking crook give me $1.3 million for a small annual premium, have you?

One great thing about when we get upset with someone we do business with, we can change to another carrier. Maybe you should give that a shot if you hate Geico so much. Of course, it appears you hate all insurance companies so you may have a tough time no matter where you go. I would say you could just self-insure, but unfortunately auto insurance is required.

With your disgust for insurance companies, I would recommend you self-insure in all the other areas that are possible for you. Life, home owners (if you own your house free and clear), disability and health insurance (at least until 2014 at which time you will be required to get health insurance or pay a penalty).

Good luck!

 

[rousemark]

Crooks, sucking blood and robbing people. Did I cover everything there? Tell me, what happens when you have a loss, do they pay? Wouldn't a crook not pay?

I have a friend whose home burned down 4 years ago. The insurance company paid out a total of $1.3 million to cover the rebuilding of the house and to replace the contents along with one of his vehicles. I've never had a blood sucking crook give me $1.3 million for a small annual premium, have you?

One great thing about when we get upset with someone we do business with, we can change to another carrier. Maybe you should give that a shot if you hate Geico so much. Of course, it appears you hate all insurance companies so you may have a tough time no matter where you go. I would say you could just self-insure, but unfortunately auto insurance is required.

With your disgust for insurance companies, I would recommend you self-insure in all the other areas that are possible for you. Life, home owners (if you own your house free and clear), disability and health insurance (at least until 2014 at which time you will be required to get health insurance or pay a penalty).

Good luck!

Given the way he feels, he should be glad to pay the penalty instead of the insurance company. As far as car insurance, some states allow him to post a cash bond in lieu of insurance.. That way he wouldn't have to deal with any companies.. Oh, and if he is an employee, I am sure he would be willing to decline workman's comp benefits rather that have to deal with accepting checks from blood sucking crooks.

 

[crashed]

Hi I am an adjuster and this is common practice for most claims departments. Now, they may have gone a little far. If I get a random call in my office, we do not set-up claims in my office anyways, but when people ask general questions about a hypothetical I will answer them if I can confirm they are a customer ect.

When I have to verify there is coverage with Geico, they make me set-up a claim.....they don't just look at the policy, they set-up a claim. THere is not a hidden agenda to this, it is simply to investigate and make sure there is nothing they need to pay. If you call in, mention a hypothetical situation about a parking lot accident, and they never take action, then they can be sued for bad faith by you the customer. This has happened and that is why insurance companies are quick to set-up a claim. The claim can be closed and no payment made and your policy premium should not be affected.

 

[rousemark]

Hi I am an adjuster and this is common practice for most claims departments. Now, they may have gone a little far. If I get a random call in my office, we do not set-up claims in my office anyways, but when people ask general questions about a hypothetical I will answer them if I can confirm they are a customer ect.

When I have to verify there is coverage with Geico, they make me set-up a claim.....they don't just look at the policy, they set-up a claim. THere is not a hidden agenda to this, it is simply to investigate and make sure there is nothing they need to pay. If you call in, mention a hypothetical situation about a parking lot accident, and they never take action, then they can be sued for bad faith by you the customer. This has happened and that is why insurance companies are quick to set-up a claim. The claim can be closed and no payment made and your policy premium should not be affected.

Are you trying to tell us there are insureds that are blood sucking crooks? I am shocked! Shocked I tell you!

 

[tebb23]

I worked for GEICO for 10 years, and I have had to do that to multiple policyholders. I always tried to confirm accident information before reporting it to a claims rep, and I was always courteous. :-) But it does suck, especially if they tell you something and then disconnect because they have become concerned this may be going to claims... we still HAVE to report it, they just get a call back like this guy or a letter advising them to contact GEICO if they don't answer. It's funny how when we payout thousands of dollars and then raise premium, we are still bad guys. People are funny :-)