As the global landscape continues to navigate the impacts of the COVID-19 pandemic, driving behaviors have significantly changed, leading to financial uncertainties for many families. In response to these shifts, American Family Insurance has announced a proactive measure to return approximately $200 million to its auto insurance customers.
Telisa Yancy
Telisa Yancy, Chief Operating Officer at American Family Insurance, emphasized the company’s commitment to its policyholders. “This action by American Family Insurance stems from our responsibility to our customers. With reduced driving and fewer claims experienced, our customers are seeing different results, and they deserve premium relief that reflects this reality,” Yancy stated.
This premium relief will be distributed as a one-time payment of $50 for each vehicle covered under an American Family Insurance personal auto policy. For a typical household with two insured vehicles, this translates to an average relief of $100. The company is diligently working to issue and mail out 2.3 million checks within a 60-day timeframe, while adhering to social distancing guidelines.
In a LinkedIn post, Jack Salzwedel, Chief Executive Officer, further elaborated on the decision, highlighting how this customer support initiative aligns with the core values and long-standing history of American Family Insurance.
“Our customers are central to everything we do,” Yancy reiterated. “American Family Insurance is in a strong financial position, enabling us to provide these meaningful payments to our customers during a time when they can make a real difference.”
The distribution of checks commenced this week in Wisconsin, the home state of American Family Insurance, following approval from the state’s Office of Commissioner of Insurance. Payments to customers in the other 18 states where the company operates will follow, contingent upon regulatory approvals from each state’s insurance authorities.
Eligibility for these relief payments is based on personal auto insurance policies active as of March 11, 2020, the date the World Health Organization declared COVID-19 a pandemic. Policies initiated after this date are not included in this relief program.
Comprehensive Customer and Community Support
Beyond this significant premium relief, American Family Insurance is extending additional support to customers during these unprecedented times. The company is offering flexibility through various measures, including deferred payment options, tailored payment plans, waiver of late fees, and a temporary suspension of underwriting and non-renewal cancellations.
Furthermore, American Family Insurance has broadened its private passenger auto insurance coverage to include food delivery drivers working for restaurants. This expansion acknowledges the increased reliance on delivery services and aims to provide essential protection to drivers engaged in this service sector.
In support of wider communities, the American Family Insurance group, along with the American Family Dreams Foundation and the Steve Stricker American Family Insurance Foundation, has committed over $6.8 million towards COVID-19 relief and support for various non-profit organizations. This commitment includes a 2-to-1 matching program for charitable donations made by the company’s agency owners and employees within their local communities, amplifying the positive impact.
“We are dedicated to playing our part in navigating these challenging times and aim to set an industry benchmark in how we give back to both our customers and the communities we serve,” Yancy affirmed.
American Family Insurance’s operational footprint extends across 19 states, including Wisconsin, Arizona, Colorado, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Minnesota, Missouri, Nebraska, Nevada, North Dakota, Ohio, Oregon, South Dakota, Utah, and Washington.
Customers seeking more detailed information about this relief payment can visit www.amfam.com/relief-payment.
About American Family Insurance Group
Headquartered in Madison, Wisconsin, American Family Insurance has been a trusted insurance provider since 1927. The company’s mission is to inspire, protect, and restore dreams through its diverse insurance products, exceptional customer service delivered by agency owners and employees, dedicated community investments, and innovative partnerships focused on addressing societal challenges. American Family Insurance champions diversity and inclusion, continuously adapting to meet the evolving needs and preferences of its customers. Ranked as the nation’s 13th-largest property/casualty insurance group and positioned at No. 306 on the Fortune 500 list, the American Family Insurance group markets its products primarily through exclusive agency owners across 19 states. The group’s portfolio also includes CONNECT, powered by American Family Insurance (formerly Ameriprise Auto & Home), The General, Homesite, and Main Street America. Collectively, these companies employ over 13,500 individuals nationwide.
