- Most everyone in the US is under some kind of quarantine or stay-at-home mandate right now as a result of the coronavirus pandemic that’s still raging across the world.
- Staying home more means a corresponding plunge in drivers on the road since people are only supposed to be venturing out to places that have been deemed by government officials as “essential businesses.”
- As a result of the decrease in driving, the insurer Allstate has decided to offer partial refunds to customers for their April and May monthly premiums.
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If you get your car insurance from Allstate, the insurer says you can expect to receive a partial refund of your monthly premium for April and May since most of us are stuck at home right now and not driving anywhere because of the coronavirus pandemic.
The company announced on Monday that it’s returning more than $600 million of its customers’ car insurance premiums in the form of what it’s calling a “Shelter-in-Place Payback.” Allstate came to this decision, according to a call with reporters Monday led by company CEO Tom Wilson, after the insurer found that its customers were driving as much as 50% less in most states. Also, these refunds will apply to 18 million policies issued by Allstate and its affiliated units.
Customers will get their funds through a credit to their bank account, credit card or Allstate account, and Allstate says the fastest way for customers to get this payback is to use the Allstate Mobile app. “This crisis is pervasive,” Wilson said. “Given an unprecedented decline in driving, customers will receive a Shelter-in-Place Payback of more than $600 million over the next two months. This is fair because less driving means fewer accidents.”
In addition to the payback, Wilson continued, Allstate also announced another new benefit Monday: Free identity protection for the rest of the year to all US residents who sign up, the reason being that the coronavirus pandemic has forced us all to become even more reliant on digital services than ever before.
“Shelter-in-place orders require us to work, take classes and visit friends virtually, which increases our exposure to cybercrime,” Allstate announced. As a result, its Allstate Identity Protection product will be free for the rest of the year with no opt-out-requirement. Any US resident can get this service for free through December 31, regardless of whether they’re already an Allstate customer, by signing up in May.
Additionally, Allstate says it will be expanding insurance coverage for customers who use their personal vehicles to deliver food, medicine, and other goods for commercial purposes. Standard personal auto insurance policies typically exclude this coverage, even though many people have started delivering goods to help others, earn money and support businesses and social service organizations that have expanded their delivery services.
