'I have never seen this in my career': Insurance companies offer rate adjustments in pandemic
Insurance commissioners are advising companies to help their customers during the pandemic as more cars are in park, and not on the roads.
Wisconsin based American Family Insurance was one of the first companies to come out with a fixed adjustment plan. Other companies like All State, Geico, Liberty Mutual, and Progressive have specific plans in order to help their policy holders.
"Logistically, if companies aren't collecting as much losses, they should be helping their customers," Madison Area Technical College's Martha Lester said.
Lester worked in insurance for decades and now teaches classes about high risk management and insurance at MATC. She says in her four decades of experience, she has never seen an auto insurer do something like this before. She believes the rates credited back to customers will be decided by the premiums earned.
"I do think it is good business for the insurance company stand point. Insurance companies are good guys, if they have this money that they can return then why not do it," Lester said.