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Georgia Commissioner Blasts Allstate’s 25% Auto Rate Hike

See the Best’s Rankings list of the Top 25 Georgia Private Passenger Auto Filings by Rate Impact.
  • Timothy Darragh
  • October 2022

Georgia Insurance and Safety Fire Commissioner John King has ripped into Allstate Corp.'s 25% automobile insurance rate hike, saying it will burden consumers already dealing with inflationary increases on everyday goods.

King lamented he has no authority under Georgia law to intervene in the filing because under Georgia law, the commissioner only has the authority to approve or disapprove minimum limits policy filings. All other filings can go into effect immediately under file-and-use provisions.

“I am angry and disappointed that Allstate has chosen to exploit a loophole in state law to implement such a substantial increase in costs on hardworking Georgians when families are already struggling with historic inflation everywhere from the gas pump to the grocery store,” King said in a consumer alert.

He also noted Allstate, the fourth-largest writer of all private passenger auto insurance in Georgia in 2021, had already filed for an increase earlier this year, bringing the total increase to 40%.

The latest rate increase went into effect for new Allstate customers on Sept. 12, while current customers will see the increase on their renewals beginning Oct. 16, King said.

Allstate said in a statement even though inflation and other factors are causing auto prices to rise, customers will continue to get competitive prices with Allstate and can save money for driving safely using Drivewise.

King said he has initiated conversations with legislative leaders regarding changes to state law to give the commissioner's office more authority “to protect consumers from these types of inexcusable actions.”

According to Best's State Rate Filings, more than 20 private passenger automobile insurance groups filed and were approved for rate increases of more than 10% in Georgia from Jan. 1 to Aug. 16, 2022. The top five groups with companies that have the highest overall percentage rate impact were Horace Mann Insurance Group, with 26.90%; American Family Insurance Group, with 15.20%; Country Financial PC Group, with 14.98%; USAA Group, with 14.60%; and Allstate Insurance Group, with 14.50%.

The top five writers of all private passenger automobile insurance in Georgia in 2021, based on direct premiums written, were State Farm Group, with 20.78% market share; Progressive Insurance Group, 15.51%; Berkshire Hathaway Insurance Group, 12.97%; Allstate Insurance Group, 10.79%; and USAA Group, 8.94%, according to BestLink.

For the full list or to get more on this and other state rate filings, visit Best's State Rate Filings.

 

Best's Rankings

Top 25 Georgia Private Passenger Auto Filings by Rate Impact

Filings were based on a disposition date of Sept. 1, 2021, to Sept. 1, 2022.

Company Name Overall
% Rate
Impact
Disposition
Date
Effective
Date
Filing
Status
Horace Mann Property & Casualty Ins Co 17.30 08/10/2022 11/01/2022 Approved
COUNTRY Casualty Insurance Company 14.99 02/04/2022 02/18/2022 Approved
Chubb National Insurance Company 14.80 07/11/2022 08/29/2022 Approved
Allstate Property and Casualty Ins Co 14.50 08/04/2022 03/07/2022 Approved
MGA Insurance Company, Inc. 13.60 01/10/2022 03/19/2022 Approved
Horace Mann Property & Casualty Ins Co 12.50 08/10/2022 11/01/2022 Approved
Unique Insurance Company 11.50 01/06/2022 01/08/2022 Approved
Mendota Insurance Company 11.20 10/20/2021 10/01/2021 Approved
Nationwide Mutual Fire Insurance Company 11.00 11/10/2021 01/01/2022 Approved
Twin City Fire Insurance Company 10.40 02/17/2022 02/19/2022 Approved
Safe Auto Insurance Company 10.30 03/17/2022 03/19/2022 Approved
Safeco Insurance Company of Indiana 10.10 07/14/2022 08/20/2022 Approved
GEICO Casualty Company 10.00 07/13/2022 07/21/2022 Approved
Mercury Indemnity Company of Georgia 9.99 07/20/2022 09/28/2022 Approved
Southern General Ins Co 9.98 07/01/2022 07/08/2022 Approved
Alfa Insurance Corporation 9.94 06/08/2022 08/09/2022 Approved
MGA Insurance Company, Inc. 9.90 08/24/2022 09/23/2022 Approved
Infinity Select Insurance Company 9.88 02/22/2022 03/22/2022 Approved
Mid-Century Insurance Company 9.85 05/20/2022 08/18/2022 Approved
InsureMax Insurance Company 9.83 07/12/2022 07/29/2022 Approved
Safeco Insurance Company of Illinois 9.80 07/14/2022 08/20/2022 Approved
Direct General Insurance Company 9.70 01/13/2022 11/19/2021 Approved
Alfa General Insurance Corporation 9.61 06/08/2022 08/09/2022 Approved
Coast National Insurance Company 9.60 08/24/2022 09/29/2022 Approved
Trustgard Insurance Company 9.50 08/08/2022 09/06/2022 Approved

Note: The chart includes individual insurance companies, not insurance groups. Individual company rate impacts may not add up to the group impacts because there may have been additional increases that were not in the top 25. The disposition date refers to the date a department of insurance considers each submission to be closed, regardless of the final status.

Source: BestLink logo



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