Introduction to Elephant Insurance
Elephant Insurance is a subsidiary of the third largest insurance company in the UK, Admiral Group. Admiral Group has sold over 2 million policies worldwide which goes a long way to shows Elephant’s solid financial backing. The company extended some of its services in the United States, and this is how the Elephant Insurance came to be.
Elephant Insurance was founded back in 2009 with its headquarters based in Richmond, Virginia. The company brags itself as being the first insurer to provide online car insurance. Yes, Elephant Insurance has no broker or agents’ commissions. All of their services are offered online. This is somewhat convenient, as it allows you to get all the information you need on policies and get your application underway right from the comfort of your home.
Elephant Insurance is also a preferred option for many people due to their below-average rates. This makes the insurer a decent choice for everyone looking for a budget-friendly policy.
Sadly, Elephant Insurance also has an abysmal rating when it comes to customer services. So while you might get favorable premium rates, dealing with the company during claims may get very frustrating. This is an issue that so many people have complained about, and hence you better prepare yourself for the same if you are going to source their services.
You should also know that Elephant Insurance is available in six states only. These are Illinois, Tennessee, Texas, Indiana, Maryland, and Virginia.
Elephant Insurance Products
Elephant insurance offers different types of covers including:
- Collision – This policy covers medical bills, car repairs and other expenses resulting from an at-fault accident
- Property damage liability – It covers damages to property or vehicles caused by an accident you are at fault for
- Comprehensive – covers unexpected damages resulting from natural disaster, vandalism or theft, i.e. circumstances outside the accident.
- Roadside assistance – Elephant Insurance provide 24/7 emergency assistance, jump-start, towing and other roadside services nationwide. This should keep you away from inconvenience
- Rental reimbursement – This will pay for the costs of getting a rental car in case your own vehicle is unusable due to an accident
- Medical payments – Covers medical bills on both you and your passengers. Note that this policy remains applicable regardless of who was at fault for the accident
- Personal injury protection – Covers indirect costs resulting from an accident. These can include lost wages, child care, ambulance rides, etc. Just like the medical payments cover above, this policy won’t be affected by who is at fault for the accident
- Underinsured or uninsured motorist protection – It covers bodily injuries caused by another motorist who is underinsured or uninsured
Elephant Insurance has partnered with different repair shops to ensure that their customers aren’t left stranded on the road. You could, for instance, get windscreen or windshield replacement from one of their express glass services. These are professional shops, and hence you won’t have to worry about getting substandard services.
Elephant insurance has also partnered with urgent.ly to provide efficient roadside assistance. This company utilizes modern technology that allows drivers to have a real-time tracking system. With this system, you can track their roadside assistance services from anywhere and request the help of the one closest to your location.
Something else worth noting is that Elephant Insurance provides you with a list of recommended auto repair services, but it is not mandatory that you get the services from the listed shops. This list is beneficial to people who might not know where they can get the specific services they need. The fact that it is not mandatory is also a good thing as it allows other people to seek services from outlets of their preference.
Other Elephant Insurance Products
Diminishing Deductible is a unique program available to people with collision and comprehensive insurance. Under this program, the insured will receive a 10% reduction in their deductible every year they go accident-free.
Accident forgiveness is some guarantee from Elephant Insurance which serves to reassure the insured that the rates won’t be increased after an at-fault accident. You must have had auto insurance from Elephant Insurance for a few years to qualify for this program.
Gap Insurance is coverage for underwater car loans. This policy is offered when the balance of a loan is more than the value of the car. Gap insurance comes in very handy when an accident or other events reduce the value of your car while the loan payments you are making are still high.
To qualify for gap insurance from Elephant, you must purchase both collision and comprehensive insurance, and a bank must hold your auto loan.
Elephant Insurance Discounts
Elephant insurance has different types of discounts that you can utilize to get up to 40% off your premiums! These discounts range from one state to another, and hence you should inquire about the exact percentage in your specific state.
- Responsible driver – Elephant can give you up to 10% discount in a particular coverage if you have not been in an accident for at least five years
- Good student discount – Full-time students with excellent academic performance can get up to 12% discounts on certain coverages. You must have at least a “B” average to qualify. Most students eligible for this discount are aged between 16 to 25
- Multicar coverage – Insure two or more cars in your policy, and you may get up to 20% off your premiums
- Electronic Signature – Save more money by signing up electronically
- Pay-in-full – You’ll also receive more discounts if you pay all your annual balance up front
- Paperless account – Save as much as 3% on each car by signing up for paperless statements
- Bundling discount – You will receive a discount for bundling your auto insurance with a homeowners/renters insurance. You can also bundle the auto insurance with a motorcycle policy or a life insurance policy to save even more.
Pros of Elephant Insurance
- You can get all the information you need, start your application and file for a claim through their online portal
- You can lock your policy rates for up to one year
- Multiple discounts should help you save some money
- Customer support services are rated poorly. Many people complain about the services being unprofessional and the site being erratic. Some reports claim that making payments is also problematic
- The insurer is available in six states only
- Elephant policies are cheap if you are looking for a multicar coverage. There are better alternatives if all you want is a policy for a single car
Other than auto insurance policies, Elephant also has a home, renters, condo, motorcycle, ATV and collector cars coverages. The budget-friendly premium rates and the various discount options are also very enticing to a lot of people.
However, before you make your final decision, you might want to look into the customer service issues reported online and see whether you are willing to compromise.
David is a financial expert who graduated from the University of Fordham (Master in Finance) in 2001. He has 10+ years of experience in private equity and wealth management. With strong expertise in senior-level financial planning, personal financial analysis, and mortgages, David knows his way around personal finance. Before working at CCR he used to be a financial analyst at McKinsey.
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