With the number of drivers dropping significantly due to the COVID-19 pandemic, some insurance companies are now offering relief to drivers.
“There is no doubt that people who have their vehicle parked at home have a lower risk than when they were driving to work,” said Don Forgeron, President of the Insurance Bureau of Canada, at CTV News Toronto.
The Canadian insurance industry will reward some drivers with premium reductions or deferred payments to help provide financial relief for the duration of the pandemic.
The office represents more than 90% of the insurance companies in Canada. He said the measures announced Wednesday could help drivers save $ 600 million over the next three months.
There will be insurance relief for those who have been laid off or have lost their jobs, for the sick or the elderly, for those who have traveled miles and for those who work from home.
Many drivers have already contacted their insurance companies to ask for help.
“We know that thousands and thousands of Canadians have already called their insurance company and asked to defer payment or make other arrangements,” said Blacksmith.
Drivers may be able to obtain premium refunds, deferrals, premium adjustments, waiver of missed payment fees, or extensive existing coverage.
FAIR is a group that advocates insurance reforms for victims of accidents and other insurance problems. FAIR spokesperson Rhonda Desroches said insurance companies could do more to help their customers, adding that “insurers already have a reputation for overcharging Ontario drivers.”
Some insurance companies have extended their savings to all of their customers, whether or not they have experienced financial difficulties as a result of COVID-19.
Allstate Canada has announced that it will spend $ 30 million on customer discounts with home payments. Each customer will receive a single payment of 25% of their monthly car premium.
Allstate customers do not need to request the rebate and should receive a check in mid-May.
Desroches said other companies could provide similar relief at a time when many people are not driving.
“When we look at traffic cameras across the province, there is very little traffic, so I think we have to adjust the premiums accordingly,” said Desroches.
There are approximately 195 different insurance providers in Canada. To find out if you are entitled to an interruption of your insurance, call your insurance company, as the savings vary depending on your situation.