Car insurance in general is a race to the bottom with competition. A good quarter has 70% of incoming premium going out to settle claims.
When you have fender bender claims costing 20-40k USD to repair, how do you price that risk?
When you have fender bender claims costing 20-40k USD to repair, how do you price that risk?
This is a solved problem. Ask any actuary who specializes in casualty insurance, or read a standard textbook about non-life insurance mathematics.
Other models are not considered insurable by GEICO as well. So likely small pool of policyholders + exorbiant claim payments == not worth the headache