Saturday, September 12, 2009

Allstate: Your statistics are not in good hands

Allstate is running a television ad in which its spokesman, the actor Dennis Haysbert, states that drivers who switched from Geico to Allstate for their car insurance saved an average of $473 a year.

What Haysbert doesn't say is that you probably wouldn't switch from one insurance company to another if you weren't going to save some money.  In fact, even if you were going to save a small amount, say $50, then you might not bother to switch.  So it's not surprising that the customers who switched saved a good deal of money.  It would be more interesting to know how big the average savings would be if all Geico customers switched to Allstate.  In fact, we have no idea how many Geico customers switched.  For all we know, the vast majority of them were happy with the insurance they had.  Some argument for switching, eh?

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