Allstate to return $600 million in auto premiums as pandemic cuts driving

[mfcorey1]

The insurer Allstate said Monday it will return more than $600 million in auto insurance premiums to customers as many Americans stay home and drive less during shelter-in-place orders to curb the coronavirus outbreak.


Most customers will receive a payback of 15% of their monthly premium in April and May, the company said.

The payback, which will apply to 18 million policies issued by Allstate and its Esurance and Encompass units, follows a data analysis by the insurer that showed mileage is down between 35% and 50% in most states, Allstate Chief Executive Officer Tom Wilson said during a call with reporters Monday.

The analysis, based on data that Allstate collects from tracking products that some customers agree to use in exchange for discounts, and other sources, showed no difference between states that had shelter orders in effect and those that did not, Wilson said.

https://www.msn.com/en-us/money/companies/allstate-to-return-dollar600-million-in-auto-premiums-as-pandemic-cuts-driving/ar-BB12dUIE

[superpatriotman]

1. Esurance told me to fuck off

No discounts even if the cars don't move for the rest of the policy.

[fescuerescue]

2. It's dependent on claims experience and the state laws of where they service

Sounds like allstate is going to go ahead and make the call that claims experience is reduced.

Esurance is either not required to do by state law, or they are waiting till all the claims are "in the bag" before making that call.

[customerserviceguy]

3. They could return three times that

if they'd just cut their advertising down to a reasonable level. And I could say the same thing about nearly all of the other insurance companies. They piss away fortunes on repetitive silly-ass advertising.

[crickets]

4. Damn. Nobody saw that coming.

Good for Allstate. Kudos to the PR department and the bean counters who figured out how to make it happen because every little bit of help is going to matter.

[stopbush]

5. We have Allstate, and I just got my 15% rebate using their mobile app.

Last edited Mon Apr 6, 2020, 04:20 PM - Edit history (1)

It will help.