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About Progressive Casualty Insurance Company

The Progressive Corporation offers personal lines insurance as well as commercial lines and property insurance. Personal auto insurance is Progressive's largest business; it also offers personal-use vehicle policies for motorcycles, RVs, snowmobiles, and other specialty vehicles. The company's commercial policies cover vans and light to heavy trucks. Most of its commercial lines policies are sold to small business owners. The property insurance business writes residential property insurance for homeowners and offers renters insurance. Progressive markets directly to consumers online and by phone and through more than 35,000 independent agents.


Progressive earns revenue through three segments: Personal Lines (the largest segment, accounting for some 85% of total revenue), Commercial Lines (about 15%), Property (roughly 5%).

The company primarily offers coverage to auto insurance customers, underwritten by third-party insurance carriers. Personal auto insurance accounts for some 95% of its Personal Lines net premiums. Progressive also offers personal umbrella insurance that provides coverage for the extras in life, such as personal injury and legal defense.

Geographic Reach

In addition to its Mayfield Village, Ohio headquarters, Progressive has offices in Colorado Springs, Colorado; Tampa and St. Petersburg, Florida; and Phoenix, Arizona. The company owns approximately 90 buildings throughout US.

Sales and Marketing

Progressive sells its personal lines insurance through more than 35,000 independent agencies and through partnerships with other insurance companies, financial institutions and national agencies. It also sells directly to customers online and by telephone. Commercial lines are distributed directly and through independent agencies.

The company's popular television ads featuring perky spokesperson "Flo" have been a boon for the company's brand recognition.


Financial Performance

Progressive's revenues for the last five years have been progressive. It has an overall growth of 87% during that period. Net income followed a similar trend except in 2016, when it dipped 19%.Revenue jumped 22% to $39.0 billion in 2019 as net premiums increased across Progressive's business segments.

Net income rose 51% to $3.9 billion, a healthy increase driven mostly by the jump in revenue.

Progressive does not hold any cash but has unrestricted access to funds maintained in a non-insurance investment subsidiary to meet its holding company obligations. Cash from operations provided $2.2 billion, while investing activities used $411.3 million (additional investments) and financing used $1.8billion, primarily due to dividends paid to common shareholders and acquisition of treasury shares for restricted stock tax liabilities.


Unlike some insurers who, in healthy markets, earn more from their investments than their premiums, more than 90% of Progressive's revenues have historically come from policy premiums.

The company's insurance operations have remained profitable and have grown as the company has entered into new geographic markets and expanded the online distribution of its personal auto products.

The auto insurance industry is highly competitive, with large carriers and regional carriers competing for market share. Because it is easy for customers to switch auto insurers, Progressive competes on price and accessibility. The company also find success through advertising to attract and retain customers. Its television ads featuring its perky spokesperson "Flo" have boosted company's brand recognition.

Progressive is looking to reduce its exposure to the competitive auto insurance industry by growing its property insurance business. It promotes its residential products through bundled packages with lower auto rates and has rebranded its majority-owned homeowners insurance carrier, American Strategic Insurance, to the Progressive name to make it easier to sell auto and home bundles. This cross-selling strategy comes with a retention benefit as well; once a customer has bought a bundled package of home/auto/umbrella coverage, they are less likely to switch insurance providers.

The company's strategy is to be a competitively priced provider of a broad range of personal auto and special lines insurance products with distinctive service, distributed through whichever channel the customer prefers, and combined with property insurance and other products when appropriate to match its customers' needs. Volume potential is driven by Progressive's price competitiveness, brand recognition, quality service, and the actions of the company's competitors, among other factors. The company is also focused on efforts to form deeper and longer-term relationships with its customers through its Destination Era strategy.

Progressive launched its business owners policy (BOP) insurance, offering general liability and property insurance. This product is geared specifically to small businesses and currently available to agents in eight states, with plans to expand to additional states during the remainder of 2020. The company also continue to act as an agent for business customers to place BOP, general liability, professional liability, and workers' compensation coverage through unaffiliated insurance carriers and are compensated through commissions, which are reported as service revenues. To further help the company's direct customers, Progressive offered BusinessQuote Explorer (BQX), a digital application that allows small business owners to obtain quotes for these products from a select group of unaffiliated carriers.

Company Background

Attorneys Jack Green and Joseph Lewis founded Progressive Mutual Insurance in Cleveland in 1937. Initially offering standard auto insurance, the company attracted customers through such innovations as installment plans for premiums (a payment method popularized during the Depression) and drive-in claims services headquartered in a garage. Progressive's early years were uncertain -- at one point the founders were even advised to go out of business -- but the advent of WWII bolstered business. Car and insurance purchases went up, but accidents declined as gas rationing limited driving.

Progressive Casualty Insurance Company

6300 Wilson Mills Rd
Mayfield Village, OH 44143-2109
Phone: 1 (440) 461-5000

Firm Stats

Employer Type: Privately Owned
Chief Security Officer: Paul Beckwith
Vice President, Real Estate: Ron Marotto
Managing Director Supervisor: Hernan Morales
Employees (This Location): 3,300
Employees (All Locations): 11,724

Major Office Locations

Mayfield Village, OH

Other Locations

Tempe, AZ
Glendale, CA
Torrance, CA
Colorado Springs, CO
Dover, DE
Doral, FL
Pensacola, FL
Sarasota, FL
Acworth, GA
Decatur, GA
Metairie, LA
Hagerstown, MD
Silver Spring, MD
Vestal, NY
Cleveland, OH
Columbus, OH
Pittsburgh, PA
Houston, TX
Springfield, VA
North York, Canada