GREEN BAY, Wis. (WFRV) – An American Family Insurance agent, Joe Havel, confirmed on Wednesday that Green Bay’s American Family Insurance company will refund millions of dollars to its customers in response to insurance claims being dropped since the COVID-19 pandemic was declared.
A spokeswoman for American Family Insurance, Erin Johansen, stated that auto claims have decreased about 20% to 40% each week since the World Health Organization declared COVID-19 a pandemic on March 11.
According to the insurance company, the decrease in auto claims will result in customers receiving a $50 check for each vehicle they have covered.
Chief Operating Officer, Telisa Yancy said, “They are driving less and experiencing fewer claims. Because of these results, they deserve premium relief.”
American Family Insurance reported on April 6 that its Madison-based company will be returning around $200 million dollars to its policyholders.
The company said it expects to distribute all 2.3 million checks to its customers by early June.
American Family noted it is also offering payment deferral and payment plans to customers and has suspended late fees, underwriting and non-renewal cancellations.
“American Family Insurance is doing this out of responsibility to our customers,” said Yancy.