Erie Insurance Announces $200 Million in Immediate Relief for Customers

Broadening ERIE's Financial Support for Personal and Commercial Auto Insurance Customers

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Apr 21, 2020, 09:04 ET

ERIE, Pa., April 21, 2020 /PRNewswire/ -- Erie Insurance today announced it will provide $200 million in dividends directly to personal and commercial auto insurance customers in the 12 states and the District of Columbia where the company does business. This immediate relief represents about 30% of related auto insurance premiums over a two-month period or 5% of their annual premium.

Today's announcement is in addition to the $200 million in rate reductions announced earlier this month. Together these efforts provide a combined $400 million in immediate relief and longer-term rate reductions for ERIE auto insurance customers. This is in response to the significant decline in miles driven due to the stay-at-home directives for COVID-19.

ERIE plans to distribute checks to customers in mid-May 2020. There is no need for customers to call ERIE or their agent to request the payment. Checks will be mailed directly to customers with policies in force as of April 1, 2020.

"We are fortunate to have built up the financial strength we have over our 95 years that allows us to further support our customers during this challenging time," said Erie Insurance President and CEO Tim NeCastro. "We stand by our customers during times of hardship and catastrophe and our response reflects who we've been for 95 years: a company that's always there for our customers and a company that is truly Above All in Service."

To further support local communities throughout its footprint, ERIE is also granting nearly $2.5 million to agents and branch offices to boost their charitable work in local communities.

"Our agents and employees have also stepped up to provide much-needed support to their local communities," added NeCastro. "They're feeding first responders and healthcare workers, purchasing gift cards from restaurants and retailers to thank those on the front lines and so much more. This infusion of funding will give them even more opportunities to continue these good works."

In addition to these measures, the company also continues to help hundreds of individual customers each day with flexible payment and billing options, coverage adjustments and other steps aimed at addressing specific customer and community needs:

Flexible Payment and Billing Options
ERIE understands that each customer's situation is unique and we continue to offer flexibility to customers facing hardship. ERIE agents can help customers with updating coverages. Customers can contact ERIE's Customer Care team at (800) 458-0811 with assistance on delaying payment dates, adjusting installments, changing pay plans and waiving penalties and fees. In addition, some billing requests including deferring payments and nonpay cancellations can also be requested through erieinsurance.com/help or through their ERIE Online Account.

Customers can also access their personal lines and life policies, view current and previous invoices, pay their bill and monitor a claim through Online Account.

Making Life Insurance Attainable
For a limited time, Erie Family Life is offering applicants a path to life insurance coverage without the requirement of a paramedical exam. The option to waive the exam is aligned with the Centers for Disease Control and Prevention guidance to maintain social distancing and prevent the spread of COVID-19. The waiver provides Erie Insurance customers the ability to obtain life insurance without in-person interaction. The offer is available for customers up to age 55 and policy face amounts up to $500,000.

Gift Card and Gift Certificate Reimbursement Coverage
Pending regulatory approval in several states, Erie Insurance is adding gift card and gift certificate reimbursement coverage to the company's ErieSecure Home® policies. The additional feature, included at no additional cost, would reimburse customers for remaining balances on gift cards that can no longer be used at independently owned and operated local businesses due to business closures. There is no requirement that the business be insured by ERIE. While the additional protection was introduced to help promote buying new gift cards to help small businesses with their cash flows during this challenging time, it is not a temporary addition and will become part of ERIE's base ErieSecure Home policies.

Support for Community COVID-19 Relief Efforts
Erie Insurance provided a lead gift to support a new COVID-19 Rapid Response Fund recently established in Erie, Pennsylvania. The COVID-19 Rapid Response Fund will directly support 501(c)(3) organizations in Erie County, Pennsylvania — the location of our headquarters — that are providing support to those in need, administering care for children, serving elderly populations who are most vulnerable and helping those suffering hardships and job loss due to the COVID-19 pandemic.

Erie Insurance Group
According to A.M. Best Company, Erie Insurance Group, based in Erie, Pennsylvania, is the 9^th largest homeowners insurer and 12^thlargest automobile insurer in the United States based on direct premiums written and" the 16^th largest property/casualty insurer in the United States based on total lines net premium written. The Group, rated A+ (Superior) by A.M. Best Company, has nearly 6 million policies in force and operates in 12 states and the District of Columbia. Erie Insurance Group is a FORTUNE 500 company.

News releases and more information about Erie Insurance Group are available at www.erieinsurance.com.

SOURCE Erie Insurance Group