Commissioner Announces Farmers Auto Insurance Rate Cut
Commissioner Poizner announced that hundreds of thousands of Farmers Insurance customers are eligible to receive an average rate reduction of 14.5 percent and a one time 10 percent insurance premium rebate, worth a combined total of up to $100 million.
Customers of Farmers Insurance are insured through one of their two major auto insurance subsidiaries, Farmers Insurance Exchange and Mid-Century Insurance Co. Today’s rate cut announcement applies to those under the Farmers Insurance Exchange banner. Farmers Insurance customers insured by the subsidiary, Mid-Century Insurance Co., are already receiving the new lower rate.
Those currently insured by Farmers Insurance Exchange and renewing their policies between July 15, 2010 and Jan. 15, 2011 will receive a one-time 10 percent rebate on their premiums. That rebate is estimated to be worth approximately $50 per insured car or $32 million. In addition, those same customers will also receive an ongoing rate cut of approximately 15 percent worth an estimated $72 million.
July 27, 2010
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