Geico/Stillwater Insurance Lied about homeowners policy coverage FREDERICKSBURG Virginia

After diligently reading the ripoff report as an Executive Manager of a national producer of property insurance in multiple States,  I am convinced that Stillwater Insurance Group is an innocent party to the situation.    It is primarily important to understand the complete operation of GEICO which is often misunderstood by the Consumer. 

GEICO is primarily a Personal Lines Automobile Insurer; although, there are some ancilliary lines which may also be offered.  GEICO does not insure Property and has a wholly owned agency to simply broker those products that are not directly insured with the carrier.   

Stillwater Insurance Group, Travelers Insurance, and other carriers have entered into an agreement with GEICO Agency following a promise of production from the giant Auto Insurance marketer;  GEICO is well known by the consumer public as the carrier that regularly airs advertisements showing a Gecko speaking with a British accent. 

It may have been possible that the retail agent involved may have misrepresented the policy, although it seems that the consumer offered a copy of his/her prior policy to the GEICO agent showing the Scheduled Jewelry floater/endorsement, it is very possible that the consumer misunderstood the terms of coverage afforded and may not have reviewed the policy after purchasing the coverage. 

For future reference,  any replacement cost policy will simply offer the value to replace an item without the discount of depreciation; the insurance carrier will pay the replacement cost of an insured item minus the applicable deductible.  If a consumer absoltely wishes to insure an item for appraised value and will not accept a replacement purchased at a lesser value in the future, the only way to insure the item is with a 'Stated Value' policy. 

This is an unfortunate situation but too often, the blame goes directly to the carrier who simply takes the risk based on an insurance contract agreed upon at purchase.  It is important to understand all parties involved in an insurance contract; in the case of GEICO representing another carrier, they are acting as an agent or broker and are not free of the responsibility of explaining all details of coverage. 

If the insured had the items replaced at a lesser value, the reason for the insurance would simply be to replace the items and it would be prudent of the carrier to replace the items at the lowest cost as would any insured person.  As we know, sentimental value is not insurable and it is unfortunate that family items will never be replaced; perhaps in this case, a Stated Value Policy may have been a better way to go but even in that case, the family items were not going to be recovered. 

We wish the insured some peace of mind and hope that others will learn from this occurrence.   The present market place has become inundated with people shopping for insurance at the lowest premium;  this story is a perfect example why chasing the lowest premium is NEVER the best option.