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Organizational Structure Paper

In the mid-1930’s, at the pivotal point of the Great Depression, there were not many company’s who held promising futures. Founder, Leo and Lillian Goodwin made the decision to establish the Government Employee Insurance Company, which is otherwise known as GEICO. The company initially started off only offering automobile insurance to Government employees and today GEICO is one for the top four automobile insurance company’s in todays insurance business and offers a wide range of products like auto, home, boat, and renters insurance.  

In the beginning, the GEICO organization was owned and operated by Leo Goodwin who ultimately trued to offer services to the military members during the 1930’s. The company eventually grew to the growing public. There were many years that the organization remained privately owned while the CEI and COO lead the company. In 1996, the company retained its usual corporate structure even though Berkshire Hathaway, a multi-million dollar investor names Warren Buffett, purchased GEICO.   When this took place, the distribution of insurance retained the distribution method went to local offices of dependent agents, regional office locations around the United States, 24 hour a day customer service telephone line.

State farm as founded in 1922 and is the largest property and casualty firm in the world. They employ over 67,000 people and an additional 17000 agents. State farm has secured its place in the top 50 Fortune 500 companies in the world. Due to this company’s large size, it I has the ability to offer their extremely competitive rate on insurance. A major different from GEICO insurance to companies like State Farm are the customer service methods. When a customer calls into GEICO, they will get a different person every call. State farm structure is one who assigns a personal agent for certain households and whenever you have a claim or question regarding coverage, then you will always deal with...

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"Esssay". Anti Essays. 12 Dec. 2018


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Esssay. Anti Essays. Retrieved December 12, 2018, from the World Wide Web: http://snehaedu.com/free-essays/Esssay-546348.html