Admiral to issue £25 refund on all car insurance premiums

The insurer is passing on the savings it’s making as a result of less claims being made during the coronavirus lockdown

Admiral is issuing a £25 refund to anyone who holds a car or van insurance policy with them, passing on the savings it’s making as a result of the coronavirus lockdown.

Anyone who has an active car or van insurance policy with Admiral that started before 20 April 2020 will receive £25 per insured vehicle back. With 4.4 million vehicles insured by Admiral in the UK, this means the company will be giving back a total of £110 million.

As a result of the coronavirus lockdown, most people are using their cars a lot less than they normally are, which means there are less accidents occurring and in turn less insurance claims being made. Admiral is making financial savings as a result of this and has decided to pass some of that back to its customers.

Customers don’t have to take any action in order to receive their refund - it will be automatically credited to thems by the end of May. Admiral will be contacting customers in the mean time to explain how their refunds will be issued.

The £110 million refund scheme is part of an overall £190 million package being implemented by Admiral, with the other £80 million being used to reduce the company’s insurance premium prices.

Any NHS workers who are involved in an accident during the coronavirus crisis will have their excess fees waived, while anyone using their car in an NHS volunteer role - such as transporting people to hospital or delivering medical equipment - will be guaranteed cover.

The £190 million package is worth about the same as Admiral’s income from premiums for one month, or a third of its total 2019 profits.

Cristina Nestares, CEO of UK insurance at Admiral, said: “During this challenging period, our main priorities have been helping our customers, supporting our local community and protecting the wellbeing of our staff, which is why we have introduced these initiatives to give something back to the customers and communities we serve.

“This is an unprecedented time when people across the country are driving significantly less than before the lockdown, and we expect this to lead to a fall in the number of claims we are seeing. We want to give the money we would have used to pay these claims back to our loyal customers in this difficult time. We have also already reflected this change in driving behaviour in our pricing for customers and will continue to do so.”

Click here to see how much car insurance premiums have risen in the past year...

Recommended

Driving licence body faces huge backlog cases due to strikes and Covid disruption
Driving licence
News

Driving licence body faces huge backlog cases due to strikes and Covid disruption

Some drivers have been unable to get on the road due to 1.4 million DVLA applications waiting to be processed
22 Jul 2021
New-car market hit by “long Covid” as sales struggle
Tesla Model 3 - front
News

New-car market hit by “long Covid” as sales struggle

June’s registration figures show a 28 per cent rise over 2020, but sales still down 16.4 per cent on 10-year average
5 Jul 2021
Illegal car modification hotspots revealed
Volkswagen Polo exhaust
News

Illegal car modification hotspots revealed

Gloucestershire has the highest proportion of illegal car modifications, with altered number plates the most common breach
14 Jun 2021
Free car insurance for people getting vaccine
Car insurance
News

Free car insurance for people getting vaccine

Three hours’ temporary insurance cover given away; drivers need only email a picture of the vaccination card to redeem offer
7 Jun 2021

Most Popular

New 2021 Volkswagen Taigo coupe-SUV breaks cover
Volkswagen Taigo R-Line - front
Volkswagen Taigo

New 2021 Volkswagen Taigo coupe-SUV breaks cover

The new VW Taigo is a sportier, more aggressive looking version of the brand’s T-Cross and is aimed at lifestyle buyers
29 Jul 2021
New Bowler Defender Challenge review
Bowler Defender Challenge - front
Land Rover Defender

New Bowler Defender Challenge review

The new Defender Challenge is the first Bowler under JLR ownership, and it’s a cracker
28 Jul 2021
New 2021 Kia EV6 boasts up to 328 miles of range
Kia EV6 - front
Kia EV6

New 2021 Kia EV6 boasts up to 328 miles of range

Kia reveals more specs for its bespoke electric car, with the EV6 offering long range and an 18-minute 80 per cent rapid recharge time
21 Jul 2021