QBE offering $50 to car insurance customers during COVID-19:

QBE offering $50 to car insurance customers during COVID-19: Will others follow?
By William Jolly on April 22,2020

One of Australia's largest insurers is offering financial support to car insurance customers in the form of gift cards.

QBE Insurance (QBE) has today announced it will be offering gift cards to Australian motor insurance customers "to help ease the pressure on household budgets brought on by COVID-19."

According to QBE, eligible existing comprehensive car insurance customers will receive a one-off COVID-19 benefit in the form of a $50 gift card.

New customers who sign up before June 30, 2020 will get one too.

Meanwhile, new and existing motorcycle, caravan and other private motor insurance customers will receive a $25 gift card.

That $25 also applies to customers with third party (excluding CTP) and third party fire & theft policies.

This benefit represents about 25% of the average insurance policy cost over April to June, according to QBE Australia Pacific CEO Vivek Bhatia.

“We know that for many of our customers, the health and economic crisis unleashed by COVID-19 is placing huge pressure on their household budgets," Mr Bhatia said.

"This one-off benefit will be a welcome boost to Aussie families at this difficult time."

Mr Bhatia said QBE is rolling out this support in response to fewer vehicles being on the road, resulting in fewer car insurance claims.

QBE Group CEO Pat Regan meanwhile said it is vital insurers step up to assist customers.

"While the path through this pandemic remains uncertain, we will continue to be there to support our customers and their communities, true to our purpose to give people the confidence to achieve their ambitions," he said.

This relief package excludes commercial and fleet policies.