Insurance Claims Drop Dramatically in the Wake of COVID-19 Pandemic

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In the wake of the COVID-19 pandemic, more people are staying at home and off the road.

The world continues to adjust to the spread of the coronavirus (COVID-19) pandemic, and people everywhere are seeing their daily lives changed and disrupted in countless ways. Across the U.S., as states have imposed varying levels of stay-at-home or shelter-in-place orders to contain the spread of the virus, more people are staying off the roads. As a result, traffic has become increasingly rare, and fewer auto accidents are being reported. In fact, California has seen a 43 percent decrease in the number of crashes during March 2020, as compared to the number of crashes reported during the same period last year.

California Sees Fewer Auto Accidents

According to a recent report from the Road Ecology Center at the University of California, Davis, there were 1,056 reported auto collisions in California between February 27 and March 19. After Governor Gavin Newsom issued a shelter-in-place order, only 450 auto accidents were reported between March 21 and April 11. During this same period in 2019, 1,128 auto accidents were reported. This means that traffic collisions fell dramatically once the shelter-in-place guidelines were established. Data from this same report indicates that there was also a decrease of 40 to 50 percent in traumatic injuries for drivers, pedestrians, and cyclists, as reported by hospitals in the Sacramento area.

Insurance Companies Respond

As fewer accidents occurred, consumers and officials have called on insurance companies to offer refunds to drivers who are now off the roads and not using their vehicles. Recently, California’s Insurance Commissioner, Ricardo Lara, ordered insurance companies—for both private and commercial vehicles—to provide premium discounts for the months of March, April, and possibly May. It stands to reason that the significant drop in auto collisions and the infrequent use of vehicles means drivers are not at much of a risk of an accident right now.

Assistance When You Need It

Although many Californians are spending less time on the road, accidents still happen. If you have been involved in an auto accident and you need help recovering compensation, reach out to the knowledgeable and dedicated attorneys at Hales & Associates, A Professional Law Corporation at (951) 489-3320 today to arrange your consultation.

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