Major U.S. insurers are offering credit to auto and motorcycle policyholders following a decline in driving, as most Americans stay at home to help contain the spread of the CCP (Chinese Communist Party) virus, also known as the novel coronavirus.
Following is a list of companies, in alphabetical order, which have offered to return premiums.
Allstate, one of the largest U.S. auto insurers, said on Monday it would return more than $600 million in premiums to customers.
Most customers will receive a “payback” of 15 percent of their monthly premium in April and May, the company said.
American Family Insurance
The auto insurer said it would return a total of $200 million to auto insurance customers beginning mid-April. Customers will receive $50 per vehicle covered by their policies, the Madison, Wisconsin-based company said.
Aviva Canada said it was offering $100 million in additional immediate relief measures to drivers, including options that would immediately reduce insurance premiums.
Customers who have stopped driving entirely could reduce their auto insurance premiums by up to 75 percent.
The insurer said it would reduce rates for personal and commercial auto insurance customers in 12 states and the District of Columbia. The amount of financial relief for Erie Insurance customers is estimated to be about $200 million, it added.
Farmers and 21st Century branded auto customers will receive a 25 percent reduction in April premium. The insurer said it has also implemented flexible payment plans and a temporary pause on cancellations.
Geico Corp, part of billionaire Warren Buffett’s Berkshire Hathaway Inc., said it will offer about $2.5 billion of credits to its 19 million auto and motorcycle policyholders.
The insurer said it will offer a 15 percent credit on policies up for renewal between April 8 and Oct. 7, averaging about $150 per auto policy and $30 per motorcycle policy.
Liberty Mutual Insurance
Liberty Mutual Insurance will give personal auto insurance customers a 15 percent refund on two months of their annual premium, returning about $250 million to Liberty Mutual and Safeco personal auto insurance customers.
Progressive Insurance Corp
Among the largest U.S. auto insurers, Progressive said it would be providing about $1 billion to personal auto customers. The company will be crediting eligible customers 20 percent of their April and May premiums.
State Farm is considering how best to take the drop in driving into account and return value to its auto insurance policyholders.
Travelers Companies Inc.
The insurer said on Wednesday it was giving U.S. personal auto insurance customers a 15 percent credit on their April and May premiums through its new stay-at-home auto premium credit program.
Travelers also said it will continue to provide auto coverage to customers whose jobs include using their personal vehicles to make food, grocery, pharmacy and medical supply deliveries.
USAA, America’s fifth largest property-casualty insurer, said it will return $520 million to its members.
Every member with an auto insurance policy in effect as of March 31, 2020, will receive a 20 percent credit on two months of premiums in the coming weeks.
By Noor Zainab Hussain