Sacramento, CA–(HISPANIC PR WIRE)–February 8, 2007–State Farm’s 3 million auto and 1.4 million homeowners, renters and condo owners in California will see nearly $500 million in savings in their annual premiums due to the company’s reductions in homeowner and auto rates. The California Department of Insurance has given its formal approval of the homeowners, renters and condo owners rate reductions. The combination of these rate reductions is the largest rate cut in the company’s history in California.
The new lower auto insurance rates take effect on March 5th and will result in a decrease of 10.1 percent, totaling some $259 million worth of savings to consumers. Homeowners, including condo owners and renters, will see a drop of 20 percent, for a total of $230 million in savings, when those lower rates take effect on April the 27th.
“While virtually all of State Farm’s customers will see some savings, the most significant decreases will go to policyholders with both home and auto policies,” indicated Robert Villegas, spokesperson for State Farm. Discounts will increase depending on how many years the policyholder has been insured by State Farm, what types of policies they have and other factors.
“We are committed to providing savings and the best service to our policy holders, and we invite new customers to visit their local State Farm agent, review their insurance needs and take advantage of these new savings,” added Villegas.
State Farm also reduced homeowner rates by 6.2 percent in 2005 and cut auto rates 7.6 percent in 2004 and 4.2 percent in 2005.