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GEICO refuses claims: backs out of contract-uses unfair business practises

I have purhased a 2006 BMW in the end of February 2008, and since I had another (much older) vehicle insured with Geico, I just added the new BMW and specifically asked that it had to be fully insured, meaning to have Geico include everything: collision, rental, driver, passenger, etc. Agent confirmed my request and I paid in full for whatever extra he calculated. Mid-March 08 I was driving around 2am on the freeway and did not notice quite in time a piece of tire that had fallen down from a semi. Got some damage on the bamper. Called Geico just to hear that I did not have a collision coverage after all and they will not be paying anything since they found that it was my fault. I was repeatedly insaulted by Geico service representative and a supervisor who said that it's my responsibility to check what I am buying and they are not responsible for selling me a wrong kind of insurance. So Geico simply refused the claim completely, backed out. However, I still asked for an upgrade to finally get what I requested for in the first place; paid extra $400. Last week I placed the car for repairs in the BMW dealership and got a rental car from them. The dealeship covers 2 day rental; it's going to take about 5 days to fix the car. I called Geico for rental reimbursment, which is clearly stated as one of the coverages on my policy. The response was a refusal, combined with pushing me around, horrific customer service and already typical backing out of the contract. Geico practices selling false policies that don't cover and getting money for it, so that when an accident happens, they are clearly not responsible for the claim. It is very convenient- it's always a customer's fault that he/she relied on the Geico agent to provide with truthful information.
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So you never had full coverage on the vehicle, and you say you didn't know? It's all over in the paperwork, and not hard to find out.

Not to mention, what would Geico's purpose be in NOT selling you full coverage?

Full coverage is MORE premium for them.

Sounds like you are just a little peaved you didn't swerve to avoid that tire.


I hate seeing customers screwed over because of an oversight of the CUSTOMER, not the INSURER. One thing no one ever does -- Does everyone agree -- is *read their insurance contract fully.* The customer thinks everything's okay and they're legal, blah, blah, blah...

and when they call their insurer, they're up the creek because they never TOOK THE TIME to find the errors on paperwork given to them.

Lesson learned. READ your contracts before you agree to them.


i dont work for geico, im in construction. but when i bought insurance online i got paper work saying what i had.

i read, noticed nothing said anything about a rental. i assumed it was automatic, so i called and was told rental is additional. so i bought it and in a few days i got more papers with my rental on it.

its not geicos fault. its yours for being a dumb dumb and not reading


Thoes cheap jerks insured me when I moved to Florida. No fault was new 2 me.

So I get rearended at a red light & find out nofault means u cant sue for pain but your insurance is required 2 pay 10k in med bills.

So Im in pain & ask what do I do 2 see a doc, sorry u can have the towing & rental but we froze your policy. :upset


You know that old saying, "If it's not in didn't happen?" You say you requested full coverage on your vehicle...but you should have received a new card that shows you only bought liability. And your premium would have been much lower for this.

You did indeed purchase rental car coverage, but the rental is available for repairs that are related to accidents that are covered under the policy. Since you got in this accident outside of your collision coverage, a rental does not apply.

At least it wasn't a crazy expensive lesson in clarifying.

Always ask what you're paying for, and READ the paperwork when it comes. Your new insurance card was in your hands for two weeks, at least, before you got in the accident.



Do you actually read the contract before agreeing to it? If it's not in writing, then don't think you are going get it.

That's just how the world works.

Don't blame them for your ignorance! No, I don't work for Geico, and never have!

All it takes is a little common sense. Learn to read, or continue to feel like you were ripped off!

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#118682 Review #118682 is a subjective opinion of poster.
Chula Vista, California
Geico Claim