As hundreds of millions of Americans stay at home and drive significantly less due to the COVID-19 pandemic shutdown, the nation’s largest auto insurance companies have agreed that there’s no good reason to ask people to pay normal rates when they are not driving. So many of them are offering a partial premium refund to help car owners save a bit of money during this challenging time.
On Tuesday, Allstate, Geico and Liberty Mutual became the first insurers to offer refunds. “This ongoing crisis has widespread effects that will linger,” Geico CEO Todd Combs in a statement. A day later, USAA and American Family Insurance followed the suit. State Farm and Progressive joined the crowd on Friday.
“We see from our claims activity people are driving less,” State Farm CEO Michael L. Tipsord said in a statement on Friday. “This dividend is one of the ways we’re working to help our customers during this unprecedented situation.”
Below is a roundup of all the auto insurers that have announced cash or credit refund plans and how much you can get back if you have a policy with them.
Farmer’s Insurance is reducing April premiums by 25 percent and pausing cancellation due to non-payment through May 1.
State Farm is giving a 25 percent credit on insurance premium for the period between March 20 and May 31.
USAA members with auto insurance policies will get a 20 percent credit for two months of coverage. The company will also halt late fees and non-payment cancellations.
Progressive is giving policyholders a 20 percent credit in April and May. The company is also waiving late fees and non-payment cancellation through May 15.
Car owners who have a policy with Liberty Mutual or Safeco (owned by Safeco) will receive a 15 percent refund on two months of their premiums. Late fees and non-payment cancellations are also paused.
Geico is giving customers a 15 percent credit for the next full policy terms.
Allstate customers will on average receive a 15 percent refund in cash or credits toward future purchases.
Traveler’s Insurance is giving people a 15 percent credit on April and May premiums and suspending non-payment cancellations through May 15.
American Family Insurance
American Family Insurance is providing customers a one-time, $50 payment per vehicle under a personal auto insurance policy. The average relief check will be $100, the company said.
Esurance is giving a 15 percent cash refund for April and May coverage through the original method of payment or sending a paper check.