Desmond Insurance Blog
Since the quarantine protocols and policies have been enforced, most companies mandated work-from-home job operations. Hence, drivers have stayed off the streets except for necessary travels such as purchasing food and other household supplies. Furthermore, many are wondering what happens with their car coverage during this period. Here is the impact of the pandemic on your insurance.
#1 Lower Claims
Physical and social distancing is widely mandated. This means people would be staying at home now more than ever, to ensure their security and safety. There would be a decrease in frequency claims since there are many fewer drivers on the road. On the bright side, insured individuals would get more policies and assistance considering companies might offer new coverages.
Many are not planning to update their coverages and will cancel their vehicle insurance. This might trick you from thinking this is a smart option. However, occasionally driving and new traveling habits might put you at risk. Do note that authorities may hold you accountable for driving without auto insurance since you would surrender your license plates.
#Reduced Insurance Costs
Clients could negotiate with their policyholders to reduce their car insurance costs. You could contact your provider to explain your current financial situation resulting in switching for a lower rate. Your insurance company might also offer discounts considering the impact of the pandemic on the economy. This includes discounts for the following:
#4 New Normal
There may be changes when claiming or filing for a policy. But do not worry, it is not drastic as you think it would be since insurance companies' operations would not stop. Modes of communication would be held through emails and electronic devices since stay-at-home procedures are mandated.
There is no surprise in seeing a massive reduction of vehicles on roads since the economic disruption. However, it is essential to keep in touch and be updated by your car insurance provider's coverages. Above all, the genuine insurance companies ought to manifest empathy for those who are affected during these trying times, instead of prioritizing profitability.
At Desmond Insurance, we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (859) 491-5100. Get your free quote today by CLICKING HERE.