State Insurance Commissioner Jim Donelon recently approved a permanent decrease of 9.6 percent in the rate for auto insurance policies issued by State Farm Insurance Company for Louisiana drivers.
The auto insurance reduction by State Farm, follows approved decreases of 4.5 percent in 2018, 6.5 percent in 2019 and 2.3 percent in March of 2020, which total a 23 percent decrease in the last two years.
“State Farm provides auto insurance for more than a million Louisiana policyholders and has been at the forefront of giving consumers relief from their auto premiums due to decreased driving during the COVID pandemic,” said Donelon. “We’ve seen many other local and national insurers do the same since the issuance of nationwide stay at home orders that have resulted in Louisiana policyholders receiving over $202 million dollars in rebates or refunds.”
Additionally, Louisiana’s private passenger auto insurers continue to return auto premium to Louisiana drivers as a response to emergency declarations and stay at home orders in place throughout the U.S. and Louisiana.
Insurers are seeing significantly fewer miles driven, resulting in a reduction in the frequency of accidents and claims filing, as well as ultimate lawsuits being filed.
At the time of publication, the insurers below have announced or provided the state Department of Insurance (LDI) with the details of a rebate or rate reduction program and these insurers provide coverage to 97 percent of Louisiana’s insured drivers.