You should be getting a car insurance refund soon if you live in California. The California Insurance Commissioner has ordered all insurance providers to make these refunds for March, April, and May (and possibly longer) to all policyholders in California that were impacted by the “shelter-in-place” order.
Car Insurance Refunds
Insurance companies usually calculate your car insurance rates based on the number of miles you drive. Due to the COVID-19 pandemic and statewide stay-at-home orders, the number of miles driven and the number of car accidents happening have drastically decreased. This significantly lowers the car insurance company’s risk of loss, even though they have been collecting full insurance premiums from policyholders.
That’s why all insurance companies have been ordered to make this car insurance refund as quickly as practicable, but no later than 120 days after the date of the insurance commissioner’s order, which is August 11, 2020.
By that date, and hopefully well before then, you should receive a notification of the refund amount with a check, credit, reduction, or other premium adjustment. The insurer also has to explain how it calculated the amount, along with the dates the premium refund is for. It must also allow you to provide your actual or estimated mileage.
This order also applies to commercial auto insurance, workers’ compensation, commercial multiple peril insurance, medical malpractice insurance, commercial liability insurance, and more. In addition, the insurance commissioner may issue a future order extending the refund period if the COVID-19 pandemic shutdown continues into June and beyond.
Call PARRIS Car Insurance Attorneys
PARRIS car insurance attorneys have been fighting for policyholders’ maximum recovery against the insurance industry since 1985. If your insurer is denying or delaying your insurance claims, contact PARRIS for help. Start your free case consultation by calling (661) 485-2072. You pay no fees until we win compensation for you.