For the second time in three years, one of the largest homeowners in Alabama has indicated it will not raises rates along the coastline in lieu of a statewide average five percent increase on inland properties.
State Farm announced that it will raised rates by the average five percent on homeowners policies, along with a seven percent increase on renters policies, an a 7.2 percent average increase in condominium owners’ policies. The new rates will apply on new policies effective November 15, and renewals as of January 1, 2012.
Since 2007, State Farm has increased its rates in the state by an average 35 percent.
The rate increase comes after State Farm reported record losses after the catastrophic tornadoes of last April. The insurer calculated its losses at roughly $916 million for tornado-related losses in Alabama, Arkansas, Georgia and Virginia.
Was this article valuable?
Here are more articles you may enjoy.