The state’s ongoing insurance crisis appears to be spreading beyond homeowner’s policies. Louisiana Insurance Commissioner Jim Donelon confirmed to WDSU that State Farm has been approved to raise car insurance rates by 17.3%.Donelon added that the primary reason for the rate hike is inflation, which is impacting the cost of labor to make repairs and the parts needed to make those repairs.Donelon said it is likely other insurance companies will seek similar rate hikes in the state.Apparently more than 1 million drivers across the state insured through State Farm could be impacted. Donelon said the increase will vary depending on the types of coverage people have and where they live in the state. He said those with full coverage will be impacted most.”It will not significantly increase for those who buy just liability coverage. That’s primarily the 40% of our state drivers who drive with the minimum limits required by law,” said Donelon. State Farm insures the most drivers than any other insurance provider in our state. Donelon said those insured through State Farm have options. They could shop around for other policies with other insurers. Or they could apply for discounts or Utilization Based Insurance. Donelon said, “What that means is you could agree to have your driving habits monitored. There’s always been a discount available for low mileage, drivers. ”
The state’s ongoing insurance crisis appears to be spreading beyond homeowner’s policies.
Louisiana Insurance Commissioner Jim Donelon confirmed to WDSU that State Farm has been approved to raise car insurance rates by 17.3%.
Donelon added that the primary reason for the rate hike is inflation, which is impacting the cost of labor to make repairs and the parts needed to make those repairs.
Donelon said it is likely other insurance companies will seek similar rate hikes in the state.
Apparently more than 1 million drivers across the state insured through State Farm could be impacted.
Donelon said the increase will vary depending on the types of coverage people have and where they live in the state. He said those with full coverage will be impacted most.
“It will not significantly increase for those who buy just liability coverage. That’s primarily the 40% of our state drivers who drive with the minimum limits required by law,” said Donelon.
State Farm insures the most drivers than any other insurance provider in our state.
Donelon said those insured through State Farm have options. They could shop around for other policies with other insurers. Or they could apply for discounts or Utilization Based Insurance.
Donelon said, “What that means is you could agree to have your driving habits monitored. There’s always been a discount available for low mileage, drivers. “
[ad_2]