Massachusetts Attorney General Martha Coakley is urging state insurance regulators to reject Progressive’s request for a 23.5 percent rate hike for commercial auto coverage.
Coakley’s office says Progressive’s rates were excessive and unfair to Massachusetts businesses and that the information Progressive used to support its rate hike was inconsistent with its proposal.
Coakley also says the insurer claims history and projections do not justify the increase, and says the Progressive has refused to provide her office with key data or other information about its calculations.
Progressive had originally sought a 26.6 percent increase, but reduced that amount to 23.5 percent after the Coakley raised concerns and asked to see the supporting data.
“High commercial auto rates can cause significant harm to small businesses,” Coakley said. “We believe Progressive’s proposed increase is unjustified and an unfair rate hike on small businesses across Massachusetts.”
Last year, Progressive has approximately $22 million in premiums for commercial auto insurance in Massachusetts, Coakley said — about 3 percent of the Bay State’s market.
If approved, the rate hike, will become effective on March 24 and would become Progressive’s fifth commercial rate increase in fewer than four years.
Was this article valuable?
Here are more articles you may enjoy.