Progressive Insurance policy will refund countless numbers of prospective clients in Rhode Island pretty much $two million for improperly charging them for motor vehicle coverage coverage.
A consent settlement with the point out Division of Group Regulation (DBR) uncovered that four,933 Progressive coverage guidelines ended up “surcharged out of compliance using a six-thirty day period renewal interval as a substitute of a 12-30 working day period of time renewal period of time of time.” These treatments ended up staying billed even more more than a 5-12 months time period of time.
Rhode Island regulation only will allow insurers to levy a surcharge on vehicle protection guidelines as shortly as a yr.
Following the DBR’s quantity submitting overview, Progressive declared that it would concern $one,900,000 in refunds and curiosity to four,096 earlier policyholders. The insurance provider will also concern $80,000 in credits to 837 present policyholders, and has agreed to shell out a $10,000 good.
“In accomplishing do the job with the Rhode Island Division of Business Regulation, we established that some Progressive prospects ended up staying inadvertently overcharged for their coverage guidelines,” a spokesperson for the enterprise spelled out to WPRI Get hold of 12 for Movement in an digital mail assertion. “We will be issuing reimbursements as in advance of extensive as doable to these individuals for the quantity owed also curiosity.”