Do you know that you can get refunded for your auto insurance? The rage of coronavirus has brought chaos to millions. In fact, lockdowns here and there have pushed many car owners to stay with fear behind the locked doors. As the outbreak continues to engulf the US with fear, a lot of people have canceled their future travels. They couldn’t even imagine themselves taking a ride to the office or to the grocery store. Instead, they worked from home. However, there were even some who have gone crazy in finding ways to sustain their family’s needs as they lost their jobs due to lockdowns.
Auto insurance companies weren’t blind to see all these. They knew that asking people to pay their insurance premium policies at a normal rate is ruthless when they’re not using it. They even acknowledged the fact that as people stay at home due to pandemic shutdown, road accidents shrunk. For them, this means decreased payout and bigger profit.
To help people ease the pain of being jobless and financially- challenged, many insurance companies gave out refunds to policyholders. Though there were few that remain deaf in this pro-consumer initiative, a sprout of hope grew to a number of policyholders during these frustrating times.
On April 7, 2020, Geico, Liberty Mutual, and Allstate were the first insurance companies to hand in refunds to its customers. Geico CEO, Todd Combs, said that the prevalent effects of the crisis will stay. Days later, numerous insurers joined the initiative, namely: American Family Insurance, USAA, Progressive, and State Farm.
In its website, Geico announced to give out 15% credit to all its motorcycle and auto insurance policy clients. This is only applicable for policies that are set for renewal between April 8 and October 7, 2020.
Liberty Mutual fired up its Personal Auto Customer Relief Refund at 15% off to customers? auto insurance premium for two months covering April and May. Such a refund will be issued via check or any payment method that the customer opted to use.
Allstate promised a 15% money back on their customers? personal auto insurance for April and May. Such a refund will be automatically deposited to the customer’s bank account or any payment method that is most convenient for the latter. Amazingly, such a refund could reach $600 million for all policyholders.
Farmers Insurance pledged to trim down their clients’ auto insurance premiums by 25% in the month of April.
Nationwide assured a one-time $50 premium refund to all its employees and policyholders for every active policy as of March 31, 2020. They will be expecting to receive it within a month via their most recent payment option.
State Farm Good Neighbor
As part of State Farm Good Neighbor Relief Program, it was announced on April 9 that the company will refund $2 billion to its policyholders in a form of dividend which will then appear as a credit on their policy.
USAA assured its customers of a 20% credit for April and May for an active auto insurance policy by March 31, 2020.
Progressive gave out 20% credit for active premium policies by end of April and May. The company even planned to provide the same credit on the months to come; however, it remained a plan as of the moment.
Traveler’s Insurance suspended non-payment cancellations until May 5 and offered a 15% credit on their policyholders? premium account in April and May.
American Family Insurance
American Family Insurance provided a one-time payment of $50 for every personal auto insurance policy. The company even confirmed that the average relief check to be given to its customers is $100.
Esurance issued a paper check to its insurance clients which covered 15% cash refund for April and May.
Auto Insurance: The Bottom Line
Insurance policyholders of the above-mentioned companies can get the best customer service they deserve especially during these rough days. Being able to receive a little help from auto insurance companies through credit or moneyback can mean a whole world to auto insurance customers. On that note, the nation?s largest insurers have, indeed, proven that fair and humane business reigned over doubled profit.