Client: “I just looked at my April deduction and it didn’t go down? I thought I was supposed to get a stay-at-home credit of __% off my auto premium.”
Answer: Thank you for your great question. This can be confusing. So here is the answer…..
You may read something from your insurance company that looks like this: “Customers on a direct bill or recurring payment plans will receive the automatic credit on future bills. Those who paid in full will receive a direct payment.”
Every insurance company (as of right now in PA) must first receive approval from the Pennsylvania Department of Insurance BEFORE credit refunds will be distributed. It should be the same as other states. (Except that I just read California is mandating insurance companies to give credits on some of their insurance policies and are waiving the state approval if they follow certain guidelines).
This means insurance companies will not be able to state specifically when the stay-at-home credit will be applied, only that they will apply in the future (for April and May premiums). When companies receive approval from the state, insureds should see their credits or refunds.
In summary, Stay-at-Home Credits will be FOR April and May, but not IN April and May. Maybe we’ll see them in June or July? We are confident that companies and states are working together to get this resolved for policyholders as quickly as possible.
What if you have not heard if you will receive a stay-at-home credit? Or what if you hear other companies are giving their insureds more? Maybe they charge their customers more?
If you have any questions, please reach out to us. We’re happy to help you and your loved ones the best we can. Take care and stay safe and healthy!
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