State Farm plans another car insurance rate cut in Louisiana
BATON ROUGE, La. (AP) — Louisiana’s largest auto insurer is slashing its rates again, as fewer drivers are on the road because of the coronavirus outbreak.
State Farm, which covers nearly one-third of the private passenger car insurance market, will cut its auto rates in the state by 9.6%, a move approved and announced Monday by Louisiana Insurance Commissioner Jim Donelon.
It’s the fourth rate cut that State Farm has made in the last two years, according to the insurance department.
The latest reduction will begin Aug. 24 for new policies and renewals after that date. The Advocate reports the new rate drop is expected to save $131 million across the company’s 1 million policy holders in Louisiana.
Despite recent premium cuts for 1.4 million Louisiana drivers, the state’s car insurance rates remain among the most expensive in the country.