We recently received a link to the Progressive Gainsharing program. Under the program, Progressive Insurance employees receive bonuses based on how well the company does. That’s not a problem for many industries, but it is a problem in insurance if adjusters receive monetary incentives to deny claims.
Perhaps we should give Progressive some credit for making this information public. It’s not really a surprise that such a program exists; there has been widespread speculation that such programs exist in many insurance companies (and in some cases, the ultimate discovery and documentation of those programs has proven very helpful to establish bad faith conduct on the part of the insurance companies). The real surprise is that Progressive would be so forthcoming in advertising the existence of the program.
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