Woodland Hills, CA (February 7, 2013)
State Farm General Insurance Company announced it is decreasing its overall homeowners insurance rate level an average of 12.6 percent effective April 15, 2013. This rate cut represents an annual savings of $160 million to the company's California customers.
"State Farm appreciates working with the Department of Insurance in bringing forth this rate filing that we believe is good for our customers," said Tom Conley, State Farm General Insurance Company President and CEO.
Close to 85 percent of State Farm's customers will see their rates remain the same or reduced by this rate filing. While the statewide average reduction per policyholder is about $100, overall premium changes for individual customers will vary, depending on factors such as exposure to risk, the coverages they carry, and the discounts for which they qualify. As an example, customers in Los Angeles County will see an average 12.3 percent cut and in Sacramento County the average reduction will be 21 percent.
In addition to the rate reduction, the approved filing introduces a more refined geographical rating system that will help State Farm better match price to risk. "Improved underwriting helps State Farm deliver on its commitment to offer customers a remarkable combination of excellent products and exceptional service at a competitive price," added Conley.
State Farm General Insurance Company reduced rates by 6.2 percent in 2005 and 20 percent in 2007, and increased rates by 6.9 percent in January 2009 and 6.9 percent in February 2010. State Farm General Insurance Company is the leading home insurer in California. With over 1.6 million policyholders, State Farm insures about one in every five homes in the State.
State Farm Public Affairs
Phone: (510) 596-1639
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.