In today’s rapidly moving world, a larger proportion of the population has automobiles. Hence, it becomes necessary to protect one’s cars, and one such way is by getting them insured against multiple threats and damages.
New Jersey Manufacturers Insurance and GEICO are two such companies that provide car insurance.
Key Takeaways
- New Jersey Manufacturers Insurance (NJM) offers policies exclusively to New Jersey and Pennsylvania residents, while GEICO serves customers across the United States.
- NJM focuses on providing coverage to customers affiliated with specific groups, such as state employees and New Jersey Business & Industry Association members. At the same time, GEICO offers policies to various customer segments without such restrictions.
- NJM consistently earns high customer satisfaction ratings and maintains a reputation for exceptional service, while GEICO is known for competitive pricing and extensive marketing efforts.
New Jersey Manufacturers Insurance vs GEICO
The difference between New Jersey Manufacturers Insurance and GEICO is that the former is available only in five states of the USA, whereas the latter provides its services across the nation. The two insurance companies also vary in their modes of accessibility, discounts provided, and the number of agents available.
The New Jersey Manufacturers Insurance Company was founded in 1913. Initially, it provided insurance to only some specific, but recently it has brought under its ambit all kinds of insurance like renters insurance, home insurance, etc.
The company sells its policies through local agents that are available throughout the five states of Connecticut, New Jersey, Pennsylvania, and, more recently, Ohio and Maryland.
In contrast, GEICO insurance company was founded in 1936. It is the second-largest car insurance company in the USA and caters to the requirements of people from all fifty states.
The company is known for its discounts and comparatively lower rates.
Comparison Table
| Parameters of Comparison | New Jersey Manufacturers Insurance | GEICO |
|---|---|---|
| About | It is an insurance company headquartered in New Jersey, United States. | It is an insurance company that has its headquarters in Maryland, United States. |
| States served | It serves five states, namely, Connecticut, New Jersey, Pennsylvania, Ohio, and Maryland. | It serves all the fifty states of the United States of America. |
| Method of sale | It sells its policies online or through the phone. | Apart from online and telephone services, it also has a network of agents that helps in selling policies. |
| Discounts | It offers fewer discounts. | It offers a wide variety of discounts like a military discount, safety device discount, etc. |
| Foundation year | It was founded in 1913. | Its foundation year was 1936. |
What is New Jersey Manufacturers Insurance?
The New Jersey Manufacturers Insurance Company is a car insurance company that came into being in 1913. It has its headquarters in New Jersey.
It was initially founded to fulfil President Woodrow Wilson’s campaign pledge that aimed at providing health care and partial wage replacement to injured workers.
With the years rolling by, it turned into a personal auto and home insurance company. Recently, it shed its previous limitations and included various other kinds of insurance policies as well.
It also broadened its arena of supplying its services as it allowed residents of two new states, Ohio and Maryland, to avail of its services in addition to the previous three.
The company offers a bunch of discounts, including anti-theft devices, homeowner discounts, multi-car discounts, and multi-policy discounts among others. It does not have a very strong network of agents.
Instead, it sells its insurance policies online or via phone.
The company’s customer satisfaction rate is quite high. It receives a very limited amount of complaints.
But one crucial arena that the company lacks is that it does not have a functional mobile application. This makes it a tad difficult for its users to access the company management.
What is GEICO?
Established in 1936, GEICO is an auto insurance company that has its headquarters in Maryland, USA. It proudly holds its position as the second-largest car insurance company in the entire United States of America.
GEICO stands for Government Employees Insurance Company, as its initial targeted customer base was Government employees.
But today, the company has grown to accommodate customers from all walks of life, whether from the public or private sectors. Even though it offers all sorts of insurance, it is best known for its auto insurance policies.
It is a nationwide company that serves all fifty states of the USA.
The company is quite generous in offering discounts to its customers. Apart from the usual discounts, it provides special discounts to men and women in uniform.
It offers a special employment discount, student discount, etc. It has an efficient network of agents that aids in selling the policies to the masses.
If one looks at the enormous magnitude at which the company operates, the complaints it receives seem to be extremely low. The company is customer-friendly as it has a robust website and a special mobile application to help its customers.
Main Differences Between New Jersey Manufacturers and GEICO
- The New Jersey Manufacturers insurance company is headquartered in New Jersey, whereas GEICO’s headquarters are situated in Maryland.
- New Jersey Manufacturers Insurance Company has its services limited to only five states, but on the other hand, GEICO has its operation spread throughout the country.
- While the New Jersey Manufacturers Insurance uses telephone and online facilities to sell its policies, GEICO seems to be a step ahead as it also offers a limited but smart network of agents for pitching its policies.
- GEICO insurance company offers a bigger and better set of discounts in comparison to New Jersey Manufacturers.
- New Jersey Manufacturers Company is known for its high customer satisfaction rates, but unlike GEICO, it does not extend to its customers a mobile application for complaint management purposes.
- New Jersey Manufacturers Company is continually growing while GEICO has kept its rank of being the second-best in the country secure.
References
- https://heinonline.org/hol-cgi-bin/get_pdf.cgi?handle=hein.journals/mnlr71§ion=42
- https://journals.sagepub.com/doi/abs/10.4278/ajhp.130218-quan-72
Last Updated : 13 July, 2023
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Chara Yadav holds MBA in Finance. Her goal is to simplify finance-related topics. She has worked in finance for about 25 years. She has held multiple finance and banking classes for business schools and communities. Read more at her bio page.
NJM and GEICO stand out as major players in the car insurance industry. Understanding the specifics and differences between these companies can greatly aid in choosing a suitable insurance provider. It’s interesting to learn about their founding history and the evolution of their services.
The unique aspects of NJM and GEICO, such as NJM’s regional focus and specialized discounts, and GEICO’s nationwide coverage and extensive discounts, provide valuable insights. Exploring their foundation years and expansion strategies sheds light on their evolution within the car insurance market.
The distinctions between NJM and GEICO in terms of states served, discounts offered, and sale methods provide valuable insights. NJM’s shift from specific group coverage to a broader range of policies, and GEICO’s nationwide coverage, demonstrate the dynamic nature of the insurance industry.
NJM’s exclusive offerings for specific groups and GEICO’s broad national services present an intriguing comparison. The companies’ diverse discount structures and methods of sale reflect their distinct approaches. It’s impressive to see how both organizations have developed into major industry players.
It’s interesting to compare NJM and GEICO, considering their unique offerings and historical backgrounds. NJM’s focus on specific groups and customer satisfaction, and GEICO’s nationwide coverage and discounts, create a compelling contrast. The evolution of these companies over the years is noteworthy.
New Jersey Manufacturers Insurance and GEICO have different histories and approaches. NJM mainly serves two states, while GEICO serves nationwide. This difference in coverage and accessibility is crucial for policyholders to consider. NJM provides fewer discounts, while GEICO offers a wide variety.
It’s fascinating to see how NJM and GEICO have evolved over the years. NJM initially served only specific groups, but now has expanded to offer a wide range of insurance policies in multiple states. GEICO, on the other hand, has become the second-largest car insurance company in the U.S. with its extensive marketing efforts and competitive pricing.
NJM’s focus on specific groups and high customer satisfaction rates compared to GEICO’s extensive marketing efforts and competitive pricing highlights the contrast between the two. It’s interesting how they’ve both become major players in the car insurance industry.
It is important for car owners to understand the differences between New Jersey Manufacturers Insurance and GEICO. NJM serves five states, it offers few discounts and sells policies online or through the phone, while GEICO serves all 50 states, offers various discounts, and has a network of agents. Both companies have a long-standing history.
I agree. It’s crucial to evaluate these companies thoroughly to decide which one best fits one’s needs.
Absolutely, their different focus demographics and methods of offering insurance make for interesting considerations when choosing car insurance.
NJM and GEICO offer contrasting approaches to car insurance. NJM’s early focus on specific groups and subsequent expansion, alongside GEICO’s nationwide services and multi-faceted discounts, showcase the diversity and evolution of insurance providers. Understanding their distinctions is essential for informed decision-making.