Not going far these days, huh? If you feel like your car is sitting outside burning money, at least you’ll get a discount from your insurance company.
This is not a joke. Car insurance companies have started announcing they will provide credits to customers to reduce their future bills or provide money back on already-paid policies. The reason: Fewer cars on the road mean fewer accidents the insurance companies have to pay for.
Some states have put a moratorium on cancelling auto insurance policies for nonpayment, including Alaska, California, Connecticut, Indiana, Missouri, Mississippi, Ohio, and Washington. (Geico is maintaining a list of states and the expiration dates on their moratoria, if you want to check your state’s rule.)
On top of honoring those state regulations, insurance carriers are offering a variety of accommodations for customers experience financial hardships during the coronavirus pandemic.
Even if you can still pay your bill, you might be getting an account credit soon. Here’s what some of the major carriers are offering customers:
Allstate
Allstate’s Shelter-in-Place Payback program will give customers an average of 15% back based on their April and May premiums. The credit will be applied to your account or refunded to your payment method. If you use the Allstate app, check there to get your payment faster.
If you need more time to pay your insurance bill, you can request a payment plan for your auto and home insurance that delays payments for 60 days with no late fees.
Farmers and 21st Century
Customers will get a 25% discount on their April premium. You don’t need to do anything to get the discount. “As we continue receiving updated information in the coming weeks, we’ll assess additional ways to take care of our customers,” Farmers CEO Jeff Dailey said in a press release.
Farmers and 21st Century have paused cancellations and are offering flexible payment plans to customers who request them.
Geico
Geico is giving customers a 15% credit the next time you renew your policy between April 8 and October 7, 2020. “For example, if your policy is $1,000 for 6 months, your credit will be $150 at your renewal,” the company’s coronavirus webpage states. “We will take care of you, so you don’t need to do anything.” The credit also applies to new policies.
Geico says policies slated for cancellation because of expiration or non payment will not be canceled through at least April 30. The company is allowing customers to postpone or pause payments or make partial payments during the pandemic.
Nationwide
Nationwide will give auto insurance customers a one-time refund of $50 per policy active as of March 31. That amount is equivalent to an average savings of 15% for two months, the company says. The refund will be credited to your most recent payment method before May 9.
If you’re having a hard time paying your bill, you can ask to have your payment deadlines deferred or late fees waived. The company may also be able to prevent your policy from being canceled for nonpayment.
Progressive
Progressive will provide a 20% credit to auto insurance customers in April and May.
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.
Progressive will waive late fees and pause cancellations through May 15. It will also pause the collections process. If you need extra time to pay your bills, call customer service to make arrangements. Progressive notes that you may continue to receive bills even after your payment schedule has changed, while the payment system catches up with increased demand.
State Farm
State Farm’s Good Neighbor Relief Program will provide a policy credit of 25% of your March 20-May 31 premium for “most customers.” The exact percentage will vary by state. You’ll see the credit applied to your bill starting in June.
The company says to contact your agent for billing assistance if you are facing financial challenges.
USAA
USAA car insurance customers will get a 20% credit on two months of premiums as long as their policy was in effect as of March 31. You don’t need to call to request it; you’ll see the credit applied to your bill.
USAA won’t cancel anyone’s coverage due to nonpayment through June 17, 2020, and it won’t charge late fees on overdue accounts. (The cancellation pause is good for auto and property insurance policies.)
USAA is offering “special payment arrangements” to members experiencing financial difficulty during the pandemic.