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With less cars on the road due to virus, group wants insurance companies to give drivers a break

With less cars on the road due to virus, group wants insurance companies to give drivers a break
Posted at 4:06 PM, Mar 30, 2020
and last updated 2020-03-30 16:06:56-04

Many highways are empty with so many people staying home. That means fewer accidents, fewer crash claims and more savings for insurance companies.

The Consumer Federation of America (CFA) wants state insurance commissioners and insurance companies to give consumers relief.

“It’s time for the insurance companies to step up and do the right thing, which is to give a break for this month while we're not driving,” said Doug Heller, with Consumer Federation of America.

Geico paused policy cancellations and expirations through April 30.

Allstate made a similar move. It's allowing payments to be delayed up to two months, but the amount due is still the same.

The Consumer Federation of America says if accidents are down 25% in California, insurance companies would save about $100 million per week.

“Allow consumers to tell their insurance companies how many fewer miles they are driving these days and they can calculate what is the monthly savings and then offset our premiums, so instead of paying $150 a month, maybe the premium will go down to $100 a month,” said Heller.

CFA recommends calling your insurance company and asking to be re-rated if your mileage is down.

If you drive for work, like a sales rep, you can call to request a change from business to pleasure-rated.

Experts say it's worth getting new quotes from companies to see where you can save.