Geico agrees to $6-million settlement in discriminatory pricing case

Geico has agreed to pay $6 million and change discriminatory auto-insurance pricing in a settlement announced Monday with the California Department of Insurance.

The insurer, a subsidiary of Berkshire Hathaway, was misrepresenting the minimum automobile insurance policy of $15,000 per person and $30,000 per accident to potential customers it considered to be less desirable, according to the department. They were given quotes stating that $100,000 per person and $300,000 per accident was the lowest available coverage, the department said.

Nancy Kincaid, a department spokeswoman, said the higher quotes would encourage the customers to look elsewhere for...