Some auto insurers have announced rebate programs in response to the COVID-19 Pandemic.
Johnson & Rohan Insurance writes directly with 7 auto carriers and through MAIP (Massachusetts Automobile Insurance Plan) writes with all the others.
In conversation with companies, it seems, they’re all likely to participate in some sort of COVID-19 rebate relief program.
As soon as companies release their plans, we will let you know what to expect from your insurer.
Some of our companies that have released programs are Travelers, Progressive, Safety Insurance and Vermont Mutual:
Travelers Group – Stay-at-Home Auto Premium Credit Program
Personal auto insurance customers will receive a 15% credit on April and May auto premiums, expanding the company’s COVID-19 relief efforts
“Our customers are doing their part to stay at home and help stop the spread of COVID-19,” said Alan Schnitzer, Chairman and Chief Executive Officer of Travelers.
“Our new program recognizes their contribution to the effort we all need to make to protect our health and safety and the resulting decrease in miles driven and auto claims. We are committed to standing with our customers, agents and brokers, and this is one more step we’re taking to help ease some of the financial burden many are experiencing.”
- Personal auto insurance customers will receive a 15% credit on April and May auto premiums, expanding the company’s COVID-19 relief efforts;
- Also provides billing relief for all U.S. customers, including suspending cancellation and nonrenewal of coverage due to nonpayment through May 15, 2020 (no interest, late fees or penalties will be charged);
- Adjusting the claim inspection process to rely more heavily on state-of-the-art digital and virtual tools.
- Conducting virtual premium audits for an extra measure of safety.
- Providing telemedicine options for injured employees through workers’ compensation, including a temporary telerehabilitation program for those who are concerned about or unable to attend physical therapy visits in person.
Progressive’s Apron Relief Program
Extra support during the COVID-19 crisis
We hope you and your family are healthy and holding up well through the uncertainty surrounding the coronavirus (COVID-19). While COVID-19 is causing disruption in our lives and communities, we’re committed to making sure that you have the protection and support you need.
Introducing the Apron Relief Program
To us, the apron is a symbol of protection. That’s why we’re assisting our customers, employees, communities, and agents by committing over $1 Billion to them in this time of need.
To our customers
Assistance with coverage and payments
During this unprecedented time, we know you may be experiencing stress and financial hardship. While you’re doing your part to fight the pandemic, we’re committed to being there in your time of need. With that in mind, here are some steps we’re taking to make things a little easier:
Personal auto premium credit
- If you have an active personal auto policy at the end of April, you’ll receive a credit for 20% of your April premium. We’ll offer the same 20% credit to active personal auto customers at the end of May, and we may offer additional credits in the upcoming months.
- There’s nothing you need to do. We’ll automatically calculate your credit at the end of each month, and then you’ll see it reflected in your account within a few weeks. If you have a balance on your policy, we’ll apply the credit directly to your remaining balance. And if you’re already paid in full, we’ll return the money to the payment account we have on file—so please make sure your payment details are up to date.
- This credit is subject to approval by state regulators.
- We don’t want you to worry about losing your insurance if you can’t pay right now. Starting April 1, 2020, we’ll waive late fees, pause collections, and hold off on canceling or non-renewing any active policies due to non-payment through May 15, 2020. Some states have already issued leniency guidelines, so we will adjust this timeline to either meet or exceed any state-specific requirements.
- In the meantime, automatic payments will continue to go through unless you tell us to stop them. And after May 15th, any remaining balance on your policy will become due. If you need more support, please don’t hesitate to call us—we’re happy to work with you to manage payments moving forward.
- We encourage you to make a payment right now if you’re able to. But if you need extra time, please give us a call—we’re ready to help.
- If you’ve already requested billing leniency, please be patient with us. Our systems haven’t caught up quite yet, so you’ll continue to receive bills and your Payment Schedule may not reflect your request.
In addition to helping with payments and coverage, we are:
Supporting first responders, health care workers, and delivery personnel
First responders, health care workers, and delivery drivers are at the front lines of the crisis, and we’re doing everything we can to help by:
- Providing expedited roadside assistance
- Expanding coverage for personal auto customers who are temporarily delivering food or medicine
- Offering meal delivery for our for-hire truckers
- Providing a full-service claims experience for first responders and health care workers who experience a car accident. We’re providing transportation to work and expediting tow and vehicle repairs. And if needed, we’re deferring deductibles and providing a rental vehicle.
Helping customers get back on the road
We know finances might be tight. To help, we’re deferring deductibles for those who need a personal vehicle repaired and can’t pay out of pocket.
Safety Insurance has announced:
As a result of the financial impact that the ongoing COVID-19 Pandemic is having on policyholders, we are announcing the Safety Personal Auto Relief Credit. Any Safety Insurance personal auto policyholder that has a policy in effect as of April 1st will receive a 15% credit off their premium for the months of April and May. Details of the program include:
- Insureds must have made at least one payment on their policy and maintain continuous coverage to be eligible
- The credits will be applied automatically, and insureds do not need to take any action
- Policyholders that have paid in full will receive a refund
- New business policies are eligible
- This credit is pending regulatory approval
In addition to this credit, Safety’s previously announced initiatives remain ongoing:
Cancellation notices issued on or after March 23, 2020 have been rescinded and we have placed a hold on all non -payment policy cancellations until further notice. We have also waived all late and NSF fees.
Safety continues to provide auto coverage for customers who are now using their personal vehicles to make food deliveries as a result of changes to their business operations. As always, our staff is available to provide help and work through flexible solutions to the challenges our policyholders face.
We are making relief efforts through our Charitable Foundation to help support the communities in which we do business. We are providing financial support to the following local charities.
Massachusetts COVID -19 Relief Fund
Boston Resiliency Fund
Healthcare Heroes to benefit the Massachusetts General Emergency Response Fund
Safety’s thoughts remain with everyone during these difficult times and we will continue to make decisions that have the best interest of our agents, policyholders, and employees in mind. Thank you for your continued partnership and please stay safe.
With our staff safe and fully functioning in remote locations now for several weeks, our focus has shifted to an analysis of the potential impact of the COVID-19 pandemic on our business, along with how we can help others who have been personally impacted by the pandemic.
Like some carriers, we’ve begun to see a decrease in loss frequency in our personal lines auto book, resulting from the stay at home orders in place across our marketing territory. While it’s difficult to predict where this will settle and how quickly it will rebound, we have enough data to support an immediate refund for our customers.
On May 1st we will begin sending letters to our customers advising them that they qualify for a payback equivalent to 20% of their auto premium for 3 months. While this amount may be more than some carriers have announced, we would prefer to issue this payment once, rather than in multiple waves, but are prepared to revisit this if the frequency decrease persists longer than we anticipate.
Another area where we are approaching this differently than most is that we will provide our customers with the opportunity to donate their refund to one of several charities we have identified that have strong regional operations in New England who are assisting with local COVID-19 relief efforts. The process will work as follows:
May 1st – Mail letters to each customer explaining the payback process and identifying the amount they can expect to receive.
May 15th – Customer will have until this date to decide if they would like to have their refund paid to one of the four charities we have selected. They can do this by visiting the web address in the letter or by scanning the QR code in the letter with their smartphone, which will take them directly to our payback donation portal. The charities from which they can choose are:
- Feeding America
- Meals on Wheels
- The United Way
- The Salvation Army
May 16th – If a customer has taken no action to donate their refund, a check, or direct deposit transaction for EFT customers, will be issued to them for the amount shown in their May 1st letter.
May 20th – Donations will be made to the charities above, as directed by our customers.
In the spirit of helping others, we’ve also directed donations to local charities most in need of immediate support and will continue to explore ways to further support them and the small businesses we count on in our communities. To provide our employees with the opportunity to participate in our charitable efforts, effective immediately we are also increasing the company match of employee charitable contributions from 100% to 200%.
Please don’t hesitate to contact either of us or any member of the Vermont Mutual Team if you have any questions about our premium payback program and thanks for your continued support of Vermont Mutual.
Together we can make a difference and get through these challenging times.