GEICO and Progressive are battling it out to win your commercial truck insurance business.
But they’re both on the lookout for the “Chameleon Carrier” that hides within fast-growing companies.
CIS shares their underwriting guidelines, and how Chameleon Carriers affect your insurance.
CIS- Commercial Insurance Solutions Inc. is an independent agency representing both GEICO and Progressive.
GEICO vs Progressive Commercial Truck Rapid Growth Guidelines
GEICO
- First Year with DOT Authority: Policyholders can add only one truck during the policy term.
- Second Year with DOT Authority: Policyholders can add up to three trucks during the policy term.
- Fleets with Over One Year of DOT Authority: Fleets may insure up to 12 units and remain eligible for a renewal offer, only if you don’t exceed the rapid growth thresholds.
If you do exceed GEICO’s thresholds, it will likely result in your policy cancellation or non-renewal.
This depends on your state and when the additional truck was added.
Progressive
- Policyholders are limited to the addition of 2 trucks in a 6 month period.
- Rapid growth from 1–9 trucks to a small fleet of 10 or more is strongly discouraged and is subject to Small Fleet underwriting discretion.
If you do exceed Progressive’s thresholds, it will also likely result in your policy cancellation or non-renewal.
This depends on your state and when the additional truck was added.
Progressive Small Fleet Truck Insurance
Progressive is a great option for small fleets of 10 or more trucks, and their rates are very competitive.
To submit your small fleet for consideration, you’ll need:
- At least three years of loss experience
- Proof of continuous insurance coverage for the same period
If your fleet grows to more than 60 vehicles, Progressive won’t be able to provide coverage primarily because their platform just isn’t set up for medium-sized fleets.
You can learn more at Progressive Now Insures Small Fleets & Progressive’s Small Fleet Truck Insurance.
Why Progressive & GEICO Discourage Fast Growth
You’d think insurance companies would want their clients to grow because more growth means more premium for them, right?
Well, unfortunately, our trucking insurance world has been plagued with “chameleon carriers”
These are carriers that burn through one Motor Carrier (MC) Authority then pop up with a new one to hide their bad track record.
Chameleon carriers have been causing chaos for years, creating disruption with a continuous cycle of claims and driving down your load rates.
For all their promises in the past, FMCSA has not solved this challenge.
Now the battle between GEICO and Progressive has driven down commercial truck insurance premiums.
That’s great for all of the good, honest truckers out there!
But it could make it easier for these chameleon carriers to hop from one insurer to another every time they switch their MC number.
What are Progressive & GEICO doing to stop Chameleon Carriers
Thankfully, both Progressive and GEICO now have a ton of data on past chameleon carriers.
So, if a chameleon tries to get a new quote, the system will often just say: DNQ – Does Not Qualify.
But that’s only after they’ve learned from past mistakes from that particular chameleon. They can’t see everything.
By setting tough growth rules for trucking companies, both are trying to disincentivize chameleon carriers from simply getting a new MC number to add more trucks.
Look, they know it’s not a perfect solution.
Let’s say a truck is running under a motor carrier’s authority but isn’t actually on their insurance policy. An insurer, like Progressive or GEICO, might not find out about this truck until they do an inspection. By that point, the truck has already been on the road for a while, likely under the false assumption that it was covered.
And getting that risky client off their books isn’t as simple as you’d think.
Because of some strange state laws, they sometimes can’t even cancel the policy mid-term. They have to wait until it’s time for renewal and then choose not to renew it.
That’s why they need help from FMCSA and the Department of Transportation.
How FMCSA is Cracking Down on Chameleon Carriers
Department of Transportation (DOT) Secretary Sean Duffy is running an impressive SafeDRIVE campaign to shut down chameleon carriers and fraudulent CDL mills.
So far, this program and other crackdowns have resulted in thousands of fraudulent drivers and CDL providers losing their credentials.
FMCSA has incorporated AI to target chameleon carriers, CDL Mills and illegal tampering and swapping of Electronic Logging Devices (ELDs).
Key measures include:
- Stricter Vetting Processes: The agency is using AI-powered checks for new DOT number applications. This includes advanced ID verification to confirm a carrier’s true business location and prevent the use of fake addresses like PO Boxes or Staples Store parking lots.
- Regulatory Reform: FMCSA is working to tie DOT numbers directly to individuals, making it harder for operators to simply close one business and open another to avoid penalties.
- Tougher Applicant Testing: Enforcing more rigorous, English-only testing for commercial driver’s license applicants to ensure a higher standard of qualification.
- Crackdown on CDL Mills: Over 7,000 of the 40,000+ CDL schools in the U.S. have already been removed from the FMCSA training registry for failing to meet federal safety standards. Thousands more are currently under review.
- AI and Data Analysis: The agency is using AI tools to detect illegal and unsafe activity in real-time. This helps identify issues like double-brokering scams and unsafe driver behavior more effectively.
Secretary Duffy has stated that these enforcement efforts are “just getting started,” emphasizing the goal is to support compliant, hardworking trucking companies while holding irresponsible operators accountable.
These regulatory actions coincide with positive economic news. The latest U.S. Jobs Report showed an unexpected creation of 178,000 new jobs, with the manufacturing sector alone adding 15,000 jobs. This marks the first quarter of positive manufacturing job growth in three years, a promising sign of economic expansion that could lead to an increase in spot rates according to Duffy.
Want to grow your trucking company?
So yes, it’s frustrating when bad actors and insurance limitations hold you back from growing your company.
We understand that. So let’s talk about your plan.
Understanding Progressive and GEICO underwriting guidelines will help you avoid getting blindsided later.
And chatting through your 3 to 5-year plan with a transportation risk expert can really help you set realistic goals.
We can also help newbies with How to Get your MC Number.
When you’re ready to get started, give us a call at CIS (330) 864-1511.
CIS – Commercial Insurance Solutions Inc, is an independent agent representing both GEICO & Progressive.
We’ll listen to your plans and run competitive quotes comparing Progressive and GEICO for you.
We want to help you be a successful small business owner!
