Liberty Mutual Insurance Approaches Century of Auto Coverage

Liberty Mutual Insurance Celebrates 100th Year

Liberty Mutual Insurance Approaches Century of Auto CoverageThe Liberty Mutual Group, which markets Liberty Mutual automobile insurance as the third largest property and casualty insurer in the nation, celebrated the centennial of its founding in Boston, Massachusetts in 2012. Although founded as the Massachusetts Employees Insurance Association to help local companies comply with a state law requiring workers’ compensation insurance, it wrote its first passenger automobile policy in 1914, changing its name to Liberty Mutual three years later. As of 2012, Liberty Mutual ranked seventh among the top auto insurers in the U.S., capturing 4.61% of market share.

Liberty Mutual Insurance’s Customer Choice Model

Liberty Mutual Insurance has built its auto insurance business based on what it calls a Customer Choice Model, allowing customers to purchase tailor-made insurance policies by dealing either with its network of regional independent agent companies or directly with Liberty Mutual employees via the company’s website, call center or the customer’s personal agent/broker. To satisfy state mandatory requirements, Liberty Mutual offers basic bodily injury and property liability policies, in addition to other optional coverages including Medical Payments to cover healthcare expenses due to injuries, Collision Coverage to cover damage to a car in the event of accident, Comprehensive Coverage which applies to vehicle damage caused by other incidents such as storms, theft or fire, Personal Injury Protection and Uninsured/Underinsured Motorist Coverage which protects drivers involved in accidents with others who drive illegally without obtaining insurance. Every auto policy written by Liberty Mutual carries a rate guarantee for one year, a choice of payment options, access to a Customer Response Center operating round the clock and easy online management under an eService program.

Liberty Mutual’s Extra Auto Insurance Benefits

Additional auto insurance benefits offered by Liberty Mutual vary from state to state and may incur extra premium charges. These include Accident Forgiveness in which auto rates do not rise after the customer’s first accident claim, Unlimited Rental Coverage which provides customers with a rental vehicle for the full length of time it takes to repair their damaged vehicle, New Car Replacement for the full rather than depreciated value of a new car totaled within the first 12 months of ownership, a Multi-Policy Discount rewarding customers who insure both home and auto with Liberty Mutual, and the Guaranteed Repairs Program giving customers a Lifetime Repair Guarantee for any work done at a garage designated as an approved Total Liberty Care (TLC)repair shop.

Liberty Mutual Research Institute for Safety

Liberty Mutual has long been in the forefront of funding research regarding worker health and safety through its Liberty Mutual Research Institute for Safety established in 1954. According to the most recent J.D. Power Customer Satisfaction Rankings, Liberty Mutual places second among all carriers offering automobile insurance, surpassed only by The Hartford.