Auto insurance companies to send $800M back to customers during coronavirus pandemic
At least two auto insurance companies are sending money back to customers--totaling $800 million.
Allstate says it will refund about 15% of premiums paid by customers in April and May. This equals approximately $600 million total. According to a press release, the money will be automatically deposited back to the bank or credit card account used for payment by each customer.
In addition, Allstate is also offering free identity protection payment relief and extended coverage.
American Family Insurance is giving back about $50 per car, totaling $200 million.
“American Family Insurance is doing this out of responsibility to our customers. They are driving less and experiencing fewer claims. Because of these results, they deserve premium relief,” Telisa Yancy, American Family chief operating officer, stated in a press release.
Approximately $4 million will be returned to Utah auto policy customers with American Family Insurance.
All 2.3 million checks are expected to be distributed within the next 60 days.