What to Know About Auto Insurance Refunds Due to COVID-19

Are You Getting a Refund on Your Auto Insurance Due to Coronavirus?

As the coronavirus continues to impact Americans’ daily lives, many major auto insurance companies have announced that they are refunding a portion of monthly insurance premiums to all policyholders.

Many Oklahoma drivers will receive a 15-20% refund on two months of insurance premiums, and may also receive additional refunds if stay-at-home orders continue. These refunds may be in the form of a cash refund directly to your bank or credit card, or a credit on your future insurance premiums.

Why Some Insurers Are Giving Discounts During the Lockdown

Almost every state in the country, including Oklahoma, is under some degree of lockdown due to COVID-19. This means fewer people are on the roads, resulting in a significant drop in the number of car accidents.

Auto insurance companies are experiencing enormous earnings since not many people are making benefits claims. The insurance companies are passing on a small amount of those earnings to their policyholders.

In some states, such as California, the government has actually ordered insurance companies to pay back premiums for March and April, as well as May if the lockdown is extended.

List of Insurance Companies Giving Refund Due to COVID-19

U.S. auto insurance companies will return a total of over $10 billion to their policyholders in the next few weeks, according to an estimate by the Insurance Information Institute.

The following is a list of major insurance companies that have announced that they will refund their policyholders. If you do not see your insurance company listed here, check their website or contact a representative for more information. Not all insurance companies have officially announced plans for a refund, but nearly all of them have stated that they are in the process of considering a refund plan.

  • Allstate will refund 15% of monthly premiums for April and May. The refund will be automatically deposited to your payment method, or a credit will be applied to your future premiums, depending on policyholder preference.
  • Geico will give a 15% credit to auto and motorcycle policyholders. The credit will be automatically applied to your entire 6-month premium.
  • Liberty Mutual policyholders will receive a 15% refund on two months of their premiums. These payments are automatic, and policyholders don’t need to take any action.
  • USAA will automatically give policyholders a 20% credit on two months of premiums.
  • Travelers will give all current policyholders a 15% credit for April and May.

Contact Our Oklahoma Car Accident Lawyers If You’re in a Crash

Even with fewer cars on the road, accidents still happen. If you or a loved one is in a car accident, please contact Ryan Bisher Ryan & Simons today for a 100% free consultation. Our firm has been a part of the Oklahoma City community for over 30 years, and we are ready to fight for you.

All three of our partners have worked exclusively at Ryan Bisher Ryan & Simons for the entirety of their careers, and are passionate about giving each and every client personalized, one-on-one attention.

To protect our clients and our employees, we are currently following social distancing guidelines and are conducting consultations and meetings by phone and video conferencing. Learn more about remote consultations here.