Texas Homeowners Facing Rate Increase from State Farm
Disclaimer: InsuranceLoco is reporting on an insurance rate change update provided by the Texas Department of Insurance and does not intend to endorse State Farm. If you'd like more information on State Farm's home insurance products please visit: State Farm
According to the Dallas Morning News and the Texas Department of Insurance, State Farm is moving forward with a 10% home insurance rate increase in Texas, as well as a new change to the way State Farm sets home insurance deductibles. Moving from from a flat rate deductible (e.g. $1,000, $2,000), State Farm is changing Texas home insurance deductibles to a minimum of 1% of the Texas homeowners' insured value.
State Farm is the home insurance provider for over 1.2 million Texas homes. The Texas Department of Insurance indicates that State Farm has increase Texas home insurance rates for the past three years: 4.5% in 2010; 8.8% in 2009; 2.9% in 2008.
Source: http://www.tdi.texas.gov/home/documents/ex13pcfilingsummary.pdf
Texas home owners should recognize that rate changes can encompass a lot of different details and every policy is unique depending on where you live, your home, and your unique home insurance needs. Where State Farm may have increased Texas home insurance rates, they may have decreased for certain types of policies. For example, within the rate filing summary provided by the Texas DOI, it indicates that the rating factors for frame construction homes decreased 4%.
State Farm Still Remains a Texas Favorite
If you’re a current policyholder and have questions, you should reach out to your State Farm agent. It’s no secret why 1.2 million Texans protect their homes with State Farm; they have a history of paying their claims, while State Farm agents are consummate insurance professionals that truly care about their customers. Many customers are indifferent to a rate increase, give that the value of the policy still exceeds the cost. |
