Auto insurance companies to return billions of dollars to customers due to coronavirus

Allstate, GEICO and Liberty Mutual have all announced plans to return millions of dollars to customers as many have stayed off the road due to the coronavirus pandemic.

GEICO announced that they providing a 15 percent credit to their auto and motorcycle policyholders as policies comes up for renewal between April 8 and October 7, 2020. They estimate the credits to be about $150 per auto policy and $30 per motorcycle policy; with 18 million policyholders approximately $2.5 billion will be returned. Current GEICO policyholders can expect to see the discount when your policy renews. You do not need to take any action to receive this credit.

Allstate said it will refund about 15 percent of premiums paid by its customers in April and May, which comes to a total of about $600 million. Allstate’s payments will go to all US and Canadian customers with personal auto insurance, whether or not their state has any kind of stay-at-home order.

Liberty Mutual also announced the Personal Auto Customer Relief Refund, which will return an estimated $250 million to our personal auto insurance customers. They have also paused cancellations due to non-payment from March 23 through May 22, 2020.

State Farm is expected to make a similar announcement later this week.