The Government Employees Insurance Company (GEICO) is an American private auto insurer firm headquartered in Chevy Chase, Maryland. It ranks second among auto insurers in the U.S.
GEICO is a Berkshire Hathaway subsidiary insuring more than 24 million cars for over 15 million clients.
| Company Full Name | Government Employees Insurance Company (GEICO) |
| Company based on | American private auto insurer firm |
| Headquarters | Chevy Chase, Maryland |
| Company Founded | 1936 |
| Company Founder | Leo Goodwin Sr. and Lillian Goodwin |
| Official Website | Geico.com |
| People Working | 40,000 |
| GEICO Net Worth | $36 Billion (Last Updated 2022) |
GEICO Net Worth
GEICO is a Berkshire Hathaway company with a net worth of over $36 billion.
Company Overview
In 1936, Leo Goodwin Sr. and Lillian Goodwin founded GEICO exclusively for federal government employees. Even though the word “government” appears in its name, GEICO is a private company that has no affiliation with the federal government.
Goodwin had been working for USAA since 1925, a company specializing in military insurance. After reaching the top of USAA’s military-dominated hierarchy – the highest a civilian could go – he started his own company.
GEICO’s original business model was based on the experience Goodwin gained from his time with USAA. The insurance company assumed that federal employees, as opposed to the general public, were a less risky and better-off group of insureds.
Over 40,000 people work for the company. It has over 16 locations across the country. Service is available around-the-clock, 365 days a year.
Funding
The Goodwins created GEICO with $25,000 of their own cash and $75,000 from Cleaves Rhea, a banker based in Fort Worth, Texas, under Lorimer Davidson’s legal guidance.
Motorsports
Sponsorship of motorsports has been a GEICO tradition for years. Germain Racing has been sponsored by the company since 2008, initially with Mike Wallace in the NASCAR Nationwide Series, and then with Casey Mears and Max Papis in the NASCAR Cup Series.