In Illinois, 11 Insurance Rate Increases Granted in June

Rate filings approved in June by Illinois regulators included insurance rate increases at 11 insurers.

Insurance regulators routinely evaluate insurers’ requests for rate changes and release their approvals and denials every month, so any state resident on the search for low cost auto insurance rates might find prices constantly in flux. The following approvals were made for policies overall, and actual rates will vary between policyholders.

The 2.5 percent increase in liability policies and 2 percent increase in physical damage policies approved for Direct Auto are already in effect. Among the changes at the insurer was removal of a surcharge for older vehicles, according to filing documents.

Hartford of Illinois and Hartford Casualty got approval for 3 percent overall rate hikes that go into effect Oct. 6 for all business.

Garrison Property & Casualty will hike rates by an average of 7 percent. The new rates go into effect on Oct. 1 for new business and Dec. 9 for renewing business.

Trustgard’s 2.9 percent hike to personal liability policies goes into effect on Aug. 1 for new business and Sept. 1 for renewing business.

Larger Overall Rate Hikes as High as 22 Percent

Millers First had the largest approved insurance rate hike, with personal liability policies going up by 22 percent overall. However, the insurer also decreased personal physical damage rates by 2.2 percent overall. New customers began seeing the new rates in June, while renewing policyholders see them July 15.

Direct National had the second-largest rate increase, hiking rates by 15 percent, which went into effect in May. Like Millers First, the company also showed a relatively small volume of written premiums.

Auto Club Commercial Policy Increases Approved

Regulators approved rate hikes for Auto Club commercial policies that go into effect Nov. 1.

Commercial liability rates will see a 7.1 percent increase while physical damage rates will see a 1.1 percent increase. The insurer said that the hikes are due to several changes in the company, including the introduction of YourAuto, a program providing pet and rental coverage and accident forgiveness.

Encompass Hikes Liability Rates

Regulators approved increases last month at three companies under the Encompass banner, all of which go into effect July 26 for new business and Aug. 25 for renewing business.

The largest premium underwriter of the three companies, Encompass Home and Auto was approved for a 6 percent overall hike in personal liability policies. The company writes an annual volume of $5.1 million in those policies.

Encompass of America will increase personal liability rates by 4 percent overall and personal physical damage rates by 3.9 percent.

Encompass Property & Casualty was approved for similar hikes, increasing personal liability rates by 4.1 percent overall and personal physical damage rates by 4 percent.

About John Pirro
John Pirro is a licensed fire and casualty insurance agent specializing in various aspects of the auto insurance industry. He worked in the auto body repair industry before taking a reporting position at Online Auto Insurance News.

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