Coronavirus has changed everything about our lives, from the way we grocery shop to how we do our work. We've seen companies suffer business interruption, and we've seen healthcare workers get coronavirus in the line of duty. One of the most notable (and positive) changes COVID-19 is responsible for? A sudden drop in car accidents. With almost no traffic on the roads, the number of car collisions has lowered considerably.
In California, motor vehicle accidents have been cut in half in the last 30 days. In Ohio, the southwestern part of the state is seeing a 30 percent drop in overall traffic, and Kentucky has seen an 18.5% year-over-year decrease in car accident fatalities so far this year. In Pennsylvania, there’s no data yet on traffic reduction, but air quality experts say that reduced traffic in Philadelphia has already improved pollution levels. It follows that there are also fewer accidents in Harrisburg and other large cities in the Commonwealth.
Fewer Claims Means Insurers Are Holding a Lot of Cash Right Now
With fewer car accidents, insurance companies are paying a record low number of claims, making insurers one of the few companies doing well during the epidemic. In China, reduced claims led to higher stock prices for car insurance companies. At home, reduced claims has actually led to insurers issuing refunds or premium discounts.
Insurers issuing discounts include the following companies:
- State Farm
Many insurers have agreed not to cancel car insurance due to non-payment. In California, auto insurers were ordered by the insurance commissioner to give premiums back to clients for March and April and to give a 90-day grace period on any policy with unpaid premiums.
Voluntary insurance refunds provide people with much-needed relief, but they also help prevent people from cancelling their policies outright, given that very few people are even using their cars right now. While few people are driving, it is wiser to take a discount than to cancel—you may still need your car for vital errands, and insurance provides theft coverage as well as collision coverage.
If you’ve been injured in a car accident during the coronavirus epidemic, our Pennsylvania car accident firm is still hard at work advocating for the injured. We’ve won tens of millions in results since 1922—even with the courts closed, we’re setting our clients up for success and compensation. Learn what we can do for you in a free case consultation!
Call (888) 498-3023 for a free and confidential consultation today!