Car insurance firm Admiral has declared it will hand out more than £100million worth of discounts to customers by the end of May. However, other companies have offered a series of offers such as payment holidays instead of financial rewards. Express.co.uk contacted some of the leading firms in the UK to see how they were helping motorists through coronavirus.
In one of the leading offers for motorists, Admiral has revealed it will give £110million worth of refunds back to their car and van insurance customers.
This will equate to a £25 refund for all customers covered with the group as of April 20, 2020.
A total of 4.4 million vehicles will receive the discount which reflects the savings made due to fewer claims made under lockdown.
Admiral says the value is equivalent to a month’s premium income or a third of the brand’s 2019 profits.
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Car insurance discounts are being offered to some drivers
Admiral has offer the saving to all customers
Their intention is to return savings to customers rather than benefit from a reduction in claims during the lockdown.
The refund will be automatically credited to motorists by the end of May and each customer will be contacted with information within weeks.
Cristina Nestares, CEO of UK Insurance at Admiral said: “We want to give the money we would have used to pay these claims back to our loyal customers in this difficult time.
“We have also already reflected this change in driving behaviour in our pricing for customers and will continue to do so.
“The Admiral Stay At Home Refund was launched to recognise the considerable efforts people are making by staying home as much as possible and as a result driving less.
“Customers don’t have to contact us to receive this, we’ll be in touch with them in the coming weeks to explain how we’ll refund them.”
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Aviva have confirmed they have launched a package of measures aimed at supporting customers and key workers through the coronavirus pandemic.
Customers will be able to review and amend their estimated annual mileage which could see a reduction in costs.
Motorists on a monthly policy may then have any outstanding premiums reduced while those on an annual policy may be eligible for refunds.
Aviva are also offering three months worth of payment deferrals for those experiencing severe financial hardship.
The company has promised to extend car insurance cover to support changes to people’s lives while enhanced cover will be provided for NHS workers.
Liverpool Victoria (LV)
LV says they are working with individual customers to do everything they can to help them through the situation.
They say the support they are offering includes reducing motorists’ premiums by temporarily changing the cover which is offered.
This could be through simple changes such as updating mileage or changing motorists’ cover to third party fire and theft agreements if they don’t plan on using a car.
LV said they are not charging admin fees for cancellations and are waiving excesses on any claims for those in financial difficulty.
A spokesperson said motorists can reduce their mileage through their online accounts which can have a positive impact on premiums.
AXA says they will waive the cancellation fee for any motorist who wishes to make a Statutory Off-Road Notification (SORN) and not use their car.
Payment holidays can also be arranged with a member of the team which will see payments delayed to later dates.
The firm says key workers who are using their car instead of public transport do not need to change their policies to be covered.
This is the same for volunteers who are transporting patients or delivering essential services.
However, offering extended cover for key workers and those volunteering to help vulnerable motorists was already required under the charter provided by the Association of British Insurers (ABI).