This post may have affiliate links, which means I may receive commissions if you chose to purchase through links I provide (at no cost to you).

Auto Collision Insurance Premiums Need To Be Refunded

Parked SUV at home

Auto insurance is an important part of a vehicle owners responsibility. People need this coverage because sooner or later they may be involved in an accident or get pulled over by the police. Especially collision insurance in the case of accidental damage to a vehicle. Before the Coronavirus pandemic happened, millions of people were faithfully paying their auto insurance premiums.

Auto Collision Insurance Responsibility

They might not have thought insurance was necessary; but they still responsibly paid their premiums every month. As it was just another bill they had to pay to legally drive their vehicles. Which needed collision insurance as part of the loan agreement they signed to purchase the vehicle.

Auto Collision Insurance And The Pandemic

After the pandemic came, this situation changed. The government ordered shutdown of businesses and organizations. Thousands of people were forced to stay at home and off the road.

The quarantine mandates did the same. At the beginning of the quarantine orders that were given back in April of 2020, the roads in most cities were virtually empty for nearly a month.

There were very few people on the streets. As a result, gas prices plummeted to their lowest rates in almost 20 years. In some places, gas prices had dropped as low as 70 cents a gallon.

This was unprecedented. Still, people were not traveling because they feared contracting the Coronavirus. No one wanted to contract this viral disease and end up in the hospital. So, they just stayed home.

Car Covers

Keep in mind that people are struggling during the pandemic. Millions of workers lost their jobs and many individuals were not receiving unemployment or any other type of assistance with their bills. So, they had to slash certain bills to make ends meet.

Auto insurance is something that many people can’t afford at this time. More so if collision coverage was part of the policy. Many people do not want to pay for auto insurance if they were not driving much. But people still faithfully paid their premiums or already had fully paid premiums in effect.

Collision Coverage Should Be Discounted

Auto insurance companies realized what had happened. They knew that if drivers were not using their vehicles; they ultimately would not pay for their auto insurance coverage. This is exactly what has happened since society was shut down and people were quarantined.

At this point some but not all insurance companies took action to help their customers. They started to partially refund policies to help ease the financial burden for drivers. Although collision coverage should also be discounted. Being that it is usually the most expensive part of a policy in addition to comprehensive coverage.

Insurance providers such as Erie Insurance, Kemper and Mercury provided partial payment insurance options for their clients. They allowed refunds, credits, and reduced insurance rates. Major auto insurance company providers such as Geico, Farmers, Nationwide, Progressive Casualty Insurance, All State, USAA Insurance and 21st Century Auto Insurance Agency also gave money back through partial payment plans.

They even extended reduced rate insurance coverage on business vehicles. Comprehensive and collision policy holders spoke up and received all sorts of partial insurance refund benefits from their providers. Most of the popular insurance providers started to give partial insurance payments to their clients back in April. This process continued well into May and beyond.

Sports Car, Automobile, Vehicle, Auto

Some Vehicle Owners Unaware Of Refunds

Motorists that are unaware of this benefit should contact their insurance providers. This is especially true if they have coverage with any of the companies listed above. The companies listed above have been contacting clients about this benefit. Customers that do not know about the partial insurance refund, could possibly be eligible to receive one.

In August of 2020, the Coronavirus pandemic is ongoing. So, partial auto insurance refunds are still available for many auto insurance customers. Just keep in mind that more people are out on the road. However, a lot of people are not back to work or they are still in limbo trying to figure out if they will have a job tomorrow.

Also, people do not want to go back out into the general public areas with the lingering pandemic. So, there are less motorists on the road than it would have been before the pandemic began. Partial insurance refunds are still necessary, and customers should take advantage of them.

In Conclusion

The bottom line is that auto insurance should be partially refunded or credited during COVID-19. It would make good business sense for providers to take this action. It is necessary for helping drivers to keep money in their pocket to pay for rent, food and utilities. Insurance is important, but during a pandemic; it is not the main thing on most people’s minds.

Insurance providers who partially refund policies for their customers are doing a good thing for their patrons and business. Many current policy holders will remember the extra relief and will probably do business with these insurance companies faithfully long term. Ultimately, auto insurance should be partially refunded or reduced for motorists while the pandemic continues. If your auto insurance company has not done this, maybe it’s time for you to gather new car insurance quotes and look elsewhere.

MisterShaka

One thought on “Auto Collision Insurance Premiums Need To Be Refunded

  1. Hi there! This blog post could not be written any better!

    Reading through this article reminds me of my previous roommate!

    He continually kept preaching about this. I’ll send this article to
    him. Pretty sure he’ll have a great read. I appreciate you for sharing!
    I am not sure where you are getting your information, but great topic.
    I needs to spend some time learning much more or understanding more.
    Thanks for magnificent info I was looking for this info for my mission. Greetings!
    Very helpful advice within this post! It’s the little changes which will make
    the greatest changes. Many thanks for sharing!
    http://nissan.com

    Feel free to surf to my homepage :: Jimmy

Leave a Reply

Next Post

How To Make Money Freelance Writing

Thu Sep 10 , 2020
Whether you’re a stay-at-home mom or college student looking for a side hustle that pays the bills. Freelance writing is the perfect solution. It’s a flexible option that allows you to work whenever and wherever you want. Learning how to make money freelance writing. Could end up being a start […]
laptop computerlaptop computer
%d bloggers like this: