State Farm Increases Home Insurance Rates for Gulf Area Homeowners
According to Mississippi Insurance Commissioner Mike Chaney, State Farm home insurance policyholders residing in the Gulf Coast could be seeing a price increase of almost 20%. Chaney recently shut down a proposed 45% rate hike and approved the 19% increase for wind related insurance services provided by State Farm Fire and Casualty Co. But the bad news doesn’t end there.
State Farm Drops Wind Policies
Chaney stated that since State Farm didn’t receive its proposed 45% increase, it could drop wind coverage for several policyholders. The rates won’t take effect until February of next year.
The Gulf area is still recovering from damages it sustained during Hurricane Katrina just four years ago. State Farm is still expected to withdrawal from the area and is no longer writing new policies.