Commissioner Donelon announces lower auto rates for Louisiana policyholders this autumn
Insurance Commissioner Jim Donelon announces his approval of rate decreases for private passenger auto policies for two major auto insurers in Louisiana.
Progressive Insurance Group (Progressive) submitted a rate filing for a decrease of 2.3 percent on new business effective Aug. 21 and renewal business effective Sept. 18. Louisiana Farm Bureau Group (Farm Bureau) submitted a rate filing for a decrease of 7.5 percent on new and renewal business, both effective Oct. 1.
Farm Bureau previously received approval for a 4.4 percent rate decrease in October of 2019. The decrease taking place this autumn for Progressive marks the fourth consecutive decrease for the insurer in the past 22 months, totaling 6.2 percent. Farm Bureau has requested decreases totaling 11.9 percent in the past 12 months.
Both companies’ newest rate decreases follow the recent announcement by State Farm Insurance Company of a rate decrease of 9.6 percent last month. Combined, the three companies cover more than 50 percent of the private passenger auto insurance market in Louisiana and total 1.5 million policies.
“These rate decreases are further proof that increased competition in the state’s auto insurance market is continuing to bring about savings for our policyholders,” said Commissioner Donelon. “When we see rate decreases from one of our top ten companies, it usually isn’t long for the rest to follow suit.”