One of the many side effects of shelter-in-place orders because of Covid-19 is substantially fewer drivers on the road, which has resulted in a reduction in accidents. A major insurance carrier led with an announcement in mid-March that they were offering a 15% rebate on personal auto policies for April and May. It did not take long for other carriers to follow suit. Most carriers are offering the same 15% credit for April and May, with a few carriers offering a 20% or 25% credit.
In most cases, this credit is automatic; you do not need to take any action to receive the refund. You can contact your agent or visit your carrier’s website for specific details on the rebate they are offering. These rebates must be approved by the individual states and are pending regulatory approval in most cases. We just received word from one carrier that the approval happened quicker than they expected, and customers should begin seeing refunds in 2-3 weeks.
As many employees shift to a new normal, if your driving exposure will continue to be reduced beyond the shelter-in-place order, please advise your agent as one of the rating factors in auto policies is miles driven.
If you have any questions, contact the Experts at Henssler Financial:
- Experts Request Form
- Email: firstname.lastname@example.org
- Phone: 770-429-9166
- Join the Conversation in Our Coronavirus Facebook Group