What company can have their market share decrease and still pay their employees a bonus?
As a policyholder we should get a premium decrease and employees receive no bonus.
19 replies (most recent on top)
Easy money GEICO passes SF in 3 years!!
Are we in a Death spiral? Is anyone in claims worried?
I protect our policy holders every day settling injury claims, that’s how I earned that $6k. No need to thank me bro, I’m glad I can carry your dead weight in your analyst support role.
A bunch of clowns here. SF is having a good year as described by others. However, to say Geico has no shot of passing SF in market share in the next 3 years is a bit of a stretch.
Lots of misinformation in the original post.
- SF HAS cut premiums for policyholders 2 years in a row. No other insurance company has cut rates in the last two years. Geico and progressive have increased rates commensurate with inflation.
- clearly you are not just a policyholder, or you would not have inside info on employee wages. You also forget almost all companies bonus, including our competitors. There is a war for talent, and this a normal business practice.
- SF has had a great year, increased company value by $11 billion, highest ever, and that’s not all stock market, $3.9b is profit on operations. Improved growth by a phenomenal 900,000 policies verses 2019. Expense ratio is going down again for the 4th straight year, as SF has aggressively cut expenses (which should make you happy).
By every measure, SF has had a great year. SF has a 15 million auto policy count lead of Geico, they will NOT pass us in 3 years. That is laughable and shows a lack of education of our industry.
What did you do to earn that 6K?
That $6k bonus is going to be nice fam!
Ever hear of shush money?
Market share will continue to decrease and Buffett will be #1 in 3 years.
As far as bonuses, why is SF handing out $$$ if not improving Market Share? Does not appear to tracking the correct metric. I would not want to manage my business this way.
Your memory is failing SF never had 30% of auto market share-highest was 22% in late 70’s. HO market share has always been higher approaching 30%. The stock market is helping every insurance company not just SF and that shows up in capital not production. The incentive compensation is not based the market-previous posts much more accurate than yours.
The stock market is making the year look great - not the increase in auto policies. I can remember SF had 30% of the market. Look at the current numbers below - in 2 years SF will be 2 or 3.
Rank Auto Insurance Company Premiums Written ($bn) Market Share
1 State Farm $41.8 18%
2 GEICO $29.6 13%
3 Progressive $22.8 10%
We will max out the bonus this year due to profitable auto gain. Nice result for the Company and employees and some agents.
We’ve actually gained about a half million autos this year clown
They have set it up so that folks expect a bonus. No matter how many policies we shed. I see no extra effort being made to earn a bonus.
You facts are wrong. Your perspective is insulting and you are probably not a policy holder or employer.
Maybe they’ve realized it’s better to have a lower number of profitably policies than a huge number of unprofitable ones.
A smaller more focused company could go farther to doing that then simply being the largest company.
Too decrease my premium.
Why would that matter to you as a policyholder?