CALIFORNIA REPORTS $1.2 BILLION IN PREMIUM REFUNDS IN RESPONSE TO COVID-19

Insurers refunded $1.2 billion to California policyholders as of June 26, based on actuarial firm Perr & Knight.

The California Department of Insurance (CDI) arranged the refunds to motorists and companies in the country influenced by the COVID-19 crisis. The companies have to file reports representing the facts of their answer to COVID-19.

CDI lately made these reports people, also Perr & Knight, that specializes in rate filings, printed an investigation.

California’s reports have information regarding the number and per cent of policyholders affected. If the nation is a manual, EVERY individual with a personal car insurance policy obtained a break on premiums, in addition to countless other policyholders, based on James Lynch, Triple-I’s chief actuary.

Personal car insurance clients received the biggest share of their refunds — a bit more than $1 billion. Industrial car customers obtained about $33 million in refunds, and employees compensation customers obtained $82.7 million.

Commercial multi-peril customers received $11.2 million, commercial liability $7.2 million and medical malpractice $10.3 million.

The accounts also have information on payment deferrals (grace periods), which is something that has been underrecognized, in part because it was really difficult to quantify.

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