Steep Drop in Car Accidents Due to COVID-19 Prompts Auto Insurance Refunds
We know that there has been a big drop in car accidents with streets emptier than they have been in years because of Coronavirus “stay at home” orders. According to Allstate CEO, Tom Wilson, driving mileage has dropped 35 to 50 percent across all states. And with a dramatic drop in car crashes, comes huge savings for auto insurance companies. As reported by NPR, three large car insurance companies have chosen to take these savings and issue premium refunds to their customers.
Three auto insurers choose to issue premium refunds to their customers amid COVID-19 stay at home orders
- Allstate will issue about $600 million in premium refunds to their 18 million customers, which breaks down to 15 percent of their premium.
- American Family Insurance will issue about $200 million in rebates by mailing a $50 check for each insured car to more than 2 million customers.
- Geico will issue about $2.5 billion in refunds to its 18 million customers through a 15 percent credit the next time their customers renew their policy.
Drivers should watch their speed to prevent deadly car accidents
Drivers who are on the roads still need to be careful. Allstate has reported that the crashes that are happening now seem to include more serious injuries and they believe the reason is because drivers are speeding more on the empty streets.
How does speed affect car accidents?
According to the WHO, speed is a known key risk factor in traffic accident injuries, as it impacts both the risk of motor vehicle crashes and the severity of the injuries. In fact, excessive and inappropriate speeding are responsible for 30 percent of traffic accident deaths in high income countries like the United States.
When drivers drive at a reasonable speed, they reduce their risk of being involved in a car accident or reduce the impact of a crash and thereby the associated injuries. The reason for this is because the higher the speed the vehicle is traveling, the shorter the time a driver has to stop to avoid crashing into a pedestrian, cyclist, object or another vehicle. For example, a vehicle traveling 30 miles per hour needs about 42 feet to come to a stop compared to a vehicle traveling 25 miles per hour that requires about 28 feet to come to a stop. Even a small increase in speed can result in a much higher risk of car accidents causing injury or fatality. Vehicle occupants involved in a crash with a vehicle that was traveling 50 miles per hour are 20 times as likely to die as those who were inside a vehicle traveling 20 miles per hour.
Seek the help of a car accident attorney
If you or a loved one was injured because of the negligence of another, contact a personal injury lawyer to discuss your legal rights. Let an experienced car accident attorney fight for the full compensation that you deserve. It is not uncommon to receive a settlement from the insurance company that is five to ten times larger with the help of a lawyer. Call the personal injury lawyers at Tario & Associates, P.S. in Bellingham, WA today for a FREE consultation! We have been representing residents of Whatcom County, Skagit County, Island County and Snohomish County since 1979. You will pay nothing up front and no attorney fees at all unless we recover damages for you!