Due to COVID 19, all insurance companies are making money hand over fist. No rate reductions and refunds/credits are minimal and short term. The insurance companies are taking the people to slaughter with not adjusting premiums accordingly. Where is the government oversight? Where are the class action attorneys? I would think that every insurance company could be sued for price gouging on an economy that is one of the worst in history. Morals?
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Yes, Allstate, Erie, Progressive, Travelers and Geico were listed in class action lawsuit. Says they still continued to charge customers in IL the same prices, even tho folks wasn't driving. Its all in the news in IL.
I was looking for the class action lawsuit info and found nothing except an article where Allstate was asking for dismissal of a lawsuit in Texas from June, do you have a link?
@hcv+16iH12CW you need to do better math, you do realize that State Farm has roughly twice the market share per the NAIC right? That puts the money returned by State Farm and Allstate equal per insureds, and as far as the rate cuts you are aware of the massive rate hikes State Farm has been doing for years, mainly due to their screw up about 4 years ago where over a 2 year period they had a 20 billion, yes billion dollar underwriting loss, in order to offset those losses they did rate hikes, many rate hikes in order to fix the issue.
You could say Farmers cheated their customers because they didn't return the same dollar value of money to their customers, even though they have about 1/4 the customers State Farm does, when in reality they returned by ratio the same amount.
State Farm took an 11% rate reduction across new business and renewals in addition to their paybacks. This is practically across all states! This a 2.2 billion reduction and 2 billion give back. 4 billion dollars!
Allstate never gives back. They gave back $1 billion back to customers over three months. No true rate reductions. 1/4 of what State Farm gave. We are also extending our offer to give all U.S. residents free identity protection through the rest of 2020. Together we will get through this pandemic and be stronger. Give us your data info armor. Give us your data drive wise. They are giving better Discounts for using drive wise now which most the customers could care less about. Allstat takes. You have to give something up to Allstate for savings. Your data.
https://newsroom.statefarm.com/auto-rate-cuts-total-2-billion-savings/
These planned rate reductions of approximately $2.2 billion nationally, are in addition to an evolving Good Neighbor Relief Program in which State Farm previously announced up to a $2 billion dividend, flexible customer payment options and philanthropic relief. Together, State Farm auto customers should see about $4.2 billion in savings.
There was something in the news today about a class-action lawsuit that includes Allstate. Google it.
Insurance companies are making money an email came out today saying from TW.
On the OP's point, you should really do some research before posting, price gouging is where a company raises the price of something, our rates are frozen, and it is often things in short supply. To recap no price increase and no shortage of insurance availability = no price gouging.
The companies need to make money as people are still hitting other people, traffic where I am at is almost normal.
Are you serious? Most carries have lost massive amounts of $.
All insurance companies are losing money hand over fist because insurance premiums are the first expense dropped as people lose income during the pandemic.