Fremont, Esurance Request New Insurance Rates in Michigan

Two insurers recently filed requests with Michigan regulators to implement rate changes to personal auto policies, with Fremont seeking to hike rates and Esurance seeking to lower rates. A total of nearly 43,000 policyholders would be affected.

Both filings were accepted but have yet to get formal approval from regulators, according to online filing records. Shoppers looking for listings of cheap auto insurance companies should keep up to date on the rate filings frequently submitted to state regulators, which will keep them abreast of prices in an insurance market with ever-changing premiums.

Michigan policyholders seeking rate filings in the state can access a regulator-provided search engine for current and archived listings.

Esurance Asks for Rate Reduction

In its filing, Esurance requested an overall 3.1 percent reduction to rates of policies “with certain preferred pre-credit tiers, credit tiers, multi-car status and homeowner status.”

The overall reduction comprises reductions of 4.4 percent to bodily injury coverage, 4.1 percent to property damage coverage, 3.4 percent to personal injury protection (PIP) coverage, 4.4 percent to uninsured motorist coverage, 4.8 percent to comprehensive coverage and 4.4 percent to collision coverage.

The change will impact 18,762 policyholders, according to the filing submitted in April. The average reduction per policyholder would be about $44.

Fremont Asks for Rate Hike

The company requested an overall 5.6 percent increase that will impact more than 24,000 policyholders, according to its filing submitted in late March. The average increase per policyholder would be about $68.50.

The overall hike comes from four base rate increases—7 percent to PIP, 5 percent to property protection coverage, 7 percent to collision coverage and 7 percent to noncollision coverage—as well as a $3 increase to full glass endorsement charges.

The company asked for the changes to become effective in April, according to the filing.

Regulators Approve Progressive Hike to Motorcycle Rates

In this latest batch of filings, regulators also approved a request from Progressive to hike rates of motorcycle coverage by 6.8 percent, which is currently in effect for both new and renewing customers.

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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