Austin, TX, September 7, 2012 - State Farm Lloyds recently submitted a rate filing to the Texas Department of Insurance that will result in Texas homeowners seeing their insurance premiums increase, on average by 20 percent.
The actual premium change for any individual customer will depend on a variety of factors including home construction type, age of the utilities, and optional coverages the customer may have added to the policy.
The changes will become effective for new customers on November 1, 2012 and on December 1, 2012 for existing customers. State Farm is making these changes because the volume of claims, and cost per claim, are increasing. Roofing prices alone have spiked almost 90 percent in the last five years.
Our first priority is to keep our promise to our policyholders, said Phillip Hawkins, Senior Vice President of State Farm Lloyds. No state has more severe weather events than Texas, and no part of our state is risk-free. Our policyholders are vulnerable to significant losses caused by high winds, hailstorms, hurricanes and wildfires. State Farm Lloyds must maintain its financial strength in order to keep our promises to our policyholders, so we can be there when they need us.
Customers are encouraged to contact their State Farm agents for information about how their individual premiums will be affected.
Patti Kelly, Public Affairs Specialist, (512) 492-5347.
State Farm and its affiliates are the largest provider of car insurance in the U.S. and is a leading insurer in Canada. In addition to providing auto insurance quotes, their 17,800 agents and more than 65,000 employees serve 81 million policies and accounts - more than 79 million auto, home, life and health policies in the United States and Canada, and nearly 2 million bank accounts. Commercial auto insurance, along with coverage for renters, business owners, boats and motorcycles, is also available. State Farm Mutual Automobile Insurance Company is the parent of the State Farm family of companies. State Farm is ranked No. 43 on the Fortune 500 list of largest companies. For more information, please visit http://www.statefarm.com or in Canada http://www.statefarm.ca.