Recently, the Department of Insurance ordered all California insurance carriers to provide a premium credit, reduction, return of premium, or other appropriate premium adjustment as soon as possible, and to comply no later than August 2020. Many of you are wondering what your insurance company is going to do about this and when it will happen.
Download the PDF version: Covid-19 Personal Lines Premium Discounts.pdf
I’ve reached out to each of our personal auto insurance carriers to try and gather information for you and I hope with this email I can answer some of those questions. This is what I have been able to find so far:
Mercury Insurance will be giving back 15% of premiums for 2 months to their Private Passenger Automobile customer. The giveback period will begin effective March 19th. Credits to customers for premium during the month of March and April will be provided in early May and credits for May will provided in June. These credits will appear automatically as a statement credit or for customers that have paid in full they will give as a refund.
Kemper Insurance personal auto customers who have a policy in force as of April 30 will be credited 15% of their April premiums in May and customers with a policy in force as of May 31 will be credited 15% of their May premiums in June. There is no action required on your part, and the credits will be applied directly to your policy. If you have already paid your policy in full, you will receive a refund of the credited amounts.
Safeco Personal auto insurance customers will receive a 15% refund of two months of their annual auto premium as of April 7, 2020. The refunds will begin in April and will be issued either by check or in the manner the customer made their most recent payment. The payments will happen automatically. Customers do not need to call Safeco to receive the refund.
Travelers Companies, Inc. announced it is giving U.S. personal auto insurance customers a 15% credit on their April and May premiums through its new Stay-at-Home Auto Premium Credit Program. The company will automatically credit customers’ accounts, providing them with prompt and much needed relief during this time.
Progressive will be giving a 20% credit to their personal auto customers for April and May. They plan to calculate each month’s credit at the end of that month and then apply it automatically to customers’ accounts or send refunds to customers who paid in full.
Oregon Mutual has not given us any information yet, on what they will be doing but they did say they will be sending out notice of their response within the time frame allowed by the Department of Insurance.
In addition, all our carriers that we insure with have expressed their desire to work with our customers on late fees and cancelations during this time. So please, don’t hesitate to reach out to us if you need any additional help during this time.
Best Regards,
Gina Mejia
Personal Lines Account Manager
Download the PDF version: Covid-19 Personal Lines Premium Discounts.pdf
