Progressive Insurance is an American company specializing in auto and other insurance products. The company was founded in 1937 and has since become one of the largest auto insurance providers in the United States. Progressive is known for its innovative approach to insurance and was one of the first companies to introduce the concept of usage-based insurance, where premiums are based on the actual driving habits of the policyholder.
In addition to auto insurance, Progressive also provides insurance coverage for motorcycles, boats, RVs, and commercial vehicles. They offer a range of insurance products, including liability, collision, and comprehensive coverage. Progressive is also known for its advertising campaigns featuring the character “Flo,” who serves as its spokesperson.
Progressive’s business model involves selling insurance directly to consumers through its website, call centers, and independent insurance agents. The company has gained a reputation for its user-friendly online tools, which allow customers to get quotes, manage policies, and file claims easily.
What is the purpose of Progressive Insurance?
Progressive insurance aims to provide various insurance products to individuals and businesses, primarily on auto insurance. The company aims to help customers protect themselves and their assets by offering coverage for potential risks and losses associated with owning and operating vehicles.
Specifically, Progressive aims to:
- Mitigate Financial Risks: Progressive helps customers manage the financial risks of owning and operating vehicles. Auto insurance coverage can help policyholders pay for damages to their cars or other people’s property, medical expenses, and other accident liabilities.
- Offer Innovative Insurance Solutions: Progressive is known for its innovative approach to insurance. The company has introduced usage-based insurance programs, which determine premiums based on individual driving habits. It allows for more personalized and potentially lower-cost insurance for customers with safe driving practices.
- Provide a Range of Insurance Products: While auto insurance is a core focus, Progressive also offers insurance coverage for motorcycles, boats, RVs, and commercial vehicles. This diversity allows the company to meet the insurance needs of a broad range of customers.
- Enhance Customer Experience: Progressive strives to make the insurance process convenient and accessible for customers. It includes user-friendly online tools for obtaining quotes, managing policies, and filing claims. The company also emphasizes customer service to ensure a positive experience for policyholders.
History of Progressive Insurance:
Progressive Insurance Company was founded in 1937 by Joseph Lewis and Jack Green. Peter B. Lewis and his mother borrowed $2.5 million to buy Progressive in 1965. The company found a niche by insuring more risky drivers in 1956. In 1987, the company surpassed the $1 billion written premium mark; by 2016, that number had reached $20 billion. Peter B. Lewis, son of Joseph Lewis, and his mother pledged their majority stake as collateral for the loan.
Founded in 1989, Progressive was one of the first auto insurance companies to offer a website for customers to purchase policies. A decade later, Progressive would pioneer using mobile browsers and smartphone apps for rating and managing policies. In addition, Progressive offered claims reporting 24/7, making it one of the first insurance companies in the country.
The company’s three segments are personal lines, commercial auto, and other indemnity.
- Independent agencies and direct writers write insurance for private passenger automobiles, motorcycles, boats, and recreational vehicles.
- It insures businesses’ cars and trucks through independent agents primarily for primary liability and physical damage.
- The other-indemnity segment provides professional liability insurance to community banks, especially directors’ and officers’ liability insurance. Aside from giving insurance-related services, it offers commercial auto insurance policy issuance and claims adjustment services in 25 states.
With over 13 million policies in force, Progressive ranks among the largest auto insurance companies in the United States, along with State Farm, Allstate, GEICO, Nationwide Mutual Insurance Company, Farmers Insurance Group, and USAA. In addition to the internet, Progressive offers its insurance services over the phone and through independent agents. The Progressive Agency business sells insurance through more than 30,000 independent agencies and progressiveagent.com, where customers can quote their policies and then contact an agent.
In December 2009, Progressive announced it would sell car insurance in Australia. Initially called Progressive Direct, it was rebranded as Progressive in 2011 and later rebranded as PD Insurance in 2019.
According to the company’s December 13, 2006 report, earnings rose 58 percent in November, with more premiums retained than in a month affected by Hurricane Katrina.
Progressive Auto Insurance sponsored the halftime show of Super Bowl XXXIII in 1999.
Progressive Field was renamed Progressive Field in January 2008, when Jacobs Field in Cleveland, Ohio, home of the Cleveland Guardians, was renamed Progressive Field. As the Official Auto Insurer of the Cleveland Indians, Progressive signed a 16-year contract for naming and sponsorship rights. (Mayfield Village, Ohio, where the company is based, is a suburb of Cleveland.) It costs around $3.6 million a year.
Progressive Insurance announced in March 2008 that they would sponsor the Progressive Insurance Automotive X PRIZE with a $10 million prize purse. As a result of the Progressive Automotive X PRIZE, a new generation of fuel-efficient cars will be inspired. Teams worldwide can design, build, and market 100 MPGe (miles per gallon energy equivalent) vehicles.
Progressive Insurance was announced as the title sponsor for the 2011 Gator Bowl college football game on December 14, 2010.
- The International Motorcycle Shows (IMS) have been sponsored by Progressive since 2010.
- Sturgis Motorcycle Rally in Sturgis, SD, has been sponsored by Progressive since 2017.
- Bikes, Blues, and BBQ: Title Sponsor since 2015
- Presenting sponsor, 2018-present
- Sponsor of Laconia Motorcycle Week since 2012
- Presenting sponsor, 2014-current
- Presenting sponsor, 2015-current
- Sponsor, 2016-Present
The Progressive Corporation has been the title sponsor of the National Marine Manufacturers Association (NMMA) boat shows since 2012.
- Sponsor of Fred Hall Shows since 2016
- The Lake Erie Marine Trades Association has been the title sponsor since 2016
- Official Insurance Sponsor, 2018-2019
- Insurance Sponsor, Quartzsite Sports, Vacation and RV Show, 2014-2016.
Frequently Asked Questions about Progressive Insurance
- What makes Progressive Insurance different from other providers?
- How does Progressive use technology to benefit its policyholders?
- What coverage options does Progressive offer for homeowners?
- Can I bundle different insurance policies with Progressive for additional savings?
- How does Progressive contribute to environmental sustainability?
In conclusion, Progressive Insurance’s journey from its inception to its current status as an industry leader reflects its commitment to innovation, customer satisfaction, and community welfare. Whether you’re a potential policyholder or someone intrigued by the insurance landscape, Progressive’s story is one of resilience, adaptability, and forward-thinking.