I am thinking there will have to be a windfall profits tax on auto insurance

[rzemanfl]

companies. Most people aren't going anywhere with their cars and won't be for a long time. That will mean far fewer accidents.

[jberryhill]

1. Dividend refunds would be preferable

[rzemanfl]

2. I think you mean premium, but yes, that is very good idea.

I am thinking about canceling the coverage except for comprehensive on one car and not driving it until this is over. Not going anywhere with one car is sufficient.

[jberryhill]

3. Woops, yeah, I meant they should pay dividends

[rzemanfl]

4. Why should their shareholders get a windfall? n/t

[jberryhill]

9. .

https://en.wikipedia.org/wiki/Mutual_insurance

A mutual insurance company is an insurance company owned entirely by its policyholders. Any profits earned by a mutual insurance company are either retained within the company or rebated to policyholders in the form of dividend distributions or reduced future premiums.

https://www.nerdwallet.com/blog/insurance/car-insurance-savings-dividends/

Other insurers may occasionally pay dividends. State Farm, for instance, sells insurance through several subsidiaries, including State Farm Mutual Automobile Insurance Co. It last paid dividends of any appreciable amount in 2007, distributing $1.25 billion to mutual policyholders, thanks to better-than-expected results.

“One way we provide value to State Farm Mutual auto policyholders is to pay dividends to them when financial results and business conditions permit,” State Farm Chief Financial Officer Michael Tipsord said in a news release at the time. “Our customers’ safe driving habits have contributed to our positive underwriting results, and we are delighted to pass along the benefits from those results to them.”

[rzemanfl]

15. I live and learn. n/t

[jberryhill]

20. I've hit the point of "I live and forget", personally

[greenjar_01]

5. Are auto insurers still mutualized?

I thought most insurance companies demutualized 20 years ago.

[rzemanfl]

6. I have no idea. All I know is my cars are unlikely to get in collisions sitting in the

driveway, yet I am being charged like they were out in tourist season traffic every day.

[greenjar_01]

7. It's a good idea to have some kind of windfall tax

A dividend to shareholders is worthless. A premium rebate for a mutual would be better.

[rzemanfl]

8. Why can't any form of company refund unearned premiums to their policyholders? n/t

[greenjar_01]

11. I suppose they could

A mutual company is owned by the policy holders, so the "dividend" is a premium rebate or payout. Most insurance companies demutualized in the late 90's, becoming ordinary public companies, owned by shareholders who may or may not have any stake other than publicly traded shares. I was making a distinction between dividends and policy rebates/payouts on that basis. Paying back policy holders would have a more distributed and targeted effect than paying out dividends to rich investors and institutional shareholders.

[rzemanfl]

16. Thank you. n/t

[jimfields33]

13. Easiest way to lower your premium is to call and lower your mileage drive per year

For example, you may say that you drive 15K a year but now due to this tell them 5K a year. But when this is over make sure to go back to 15K a year so the car is covered if you get in an accident and they see you drive 15K again.

[rzemanfl]

14. We are already as low as you can go with our company. n/t

[jimfields33]

17. Darn.

I wonder if you call them and say what are you going to do for people now that nobody is driving. Might at least get the seed going in their minds.

[rzemanfl]

18. I will try to cancel everything but comprehensive on one car. n/t

[jimfields33]

22. That's a good idea.

I probably should to. I’m close anyway as my car is a 2011 and if totaled would get a buck at this point. Lol.

[rzemanfl]

23. Ours are even older, but have very low miles. n/t

[jimfields33]

35. Definitely get rid of full coverage

There comes a time when you are pouring money down the drain. I think you and I are both doing it.

[rzemanfl]

36. It's the no fault and liability that are the biggies. n/t

[jimfields33]

37. That's true. Unfortunately we have no control over those.

[jberryhill]

10. A number of them still are

Notably USAA...


https://www.nerdwallet.com/blog/insurance/car-insurance-savings-dividends/

Other insurers may occasionally pay dividends. State Farm, for instance, sells insurance through several subsidiaries, including State Farm Mutual Automobile Insurance Co. It last paid dividends of any appreciable amount in 2007, distributing $1.25 billion to mutual policyholders, thanks to better-than-expected results.

“One way we provide value to State Farm Mutual auto policyholders is to pay dividends to them when financial results and business conditions permit,” State Farm Chief Financial Officer Michael Tipsord said in a news release at the time. “Our customers’ safe driving habits have contributed to our positive underwriting results, and we are delighted to pass along the benefits from those results to them.”

[rzemanfl]

19. I live and learn. I have never insured with a mutual. n/t

[rzemanfl]

41. Interesting seeing all the insurers giving refunds now.

Mine from Geico was 15%. Because of when my policy renews I got it before I knew what it was.

[Skraxx]

12. Hey, There's an Upside, Less Car Accident Deaths

n/t

[malaise]

21. I actually renewed mine two days ago

Better to be safe than sorry.

[MichMan]

24. Using that logic, would health insurers be justified in jacking up premiums now?

[rzemanfl]

25. Apples and oranges. Car insurance premiums are figured on

what you drive, where, and how often.

[Merlot]

38. No, health insurance companies are set to profit from all this

Wendell Potter explains how, it was posted here at DU earlier, sorry no link.

Basically, with elective surgeries cancelled and less people going to the doctor, they are actually going to come out ahead on this. Of course.

[rzemanfl]

39. Wasn't familiar with that.

Too much to process.

[The Genealogist]

26. They are going around here

I live on a fairly busy street in an area dominated by light industrial, some commercial, and very light retail. A stay at home order was issued to begin yesterday in my town. The traffic has been HEAVIER. Parking lots at all the businesses full. I went to check the mail around 11 00 and it looked like rush hour. I think the Trumpsters are in some cases just driving around cause ain't no gummint gonna tell them to stay home.

[rzemanfl]

27. Where RU? n/t

[The Genealogist]

28. Springfield, MO

Home of John Ashcroft, Assembles of God, and Bass Pro.

[rzemanfl]

30. Well at least there are probably no statutes with bare breasts. n/t

[The Genealogist]

32. Uh no not so much

When I was in high school they put in a womenswear shop in the mall that was to feature a painting of the Venus de Milo. The local self-righteous lost their absolute shit because bewbs, and the store was not allowed to put up that painting.

[malchickiwick]

29. I heard a public safety officer here in Clark Co. NV say accident levels are about the same.

Fewer cars on the road mean more people speeding on surface streets, apparently.

[rzemanfl]

31. Interesting. n/t

[Throck]

33. My brother is a trucker, still working.

People driving worse and more rude than ever in Cleveland, Pittsburg, Cincinnati. Open roads, no cops to enforce speed limits.

[rzemanfl]

34. I guess I must be socially isolated, because I am. n/t

[shanti]

40. I barely drive my van since retirement

Yet my car insurance is more expensive now than it was when I was working. FWIW, I live in CA.