Handful of Pennsylvania Rate Changes Take Effect in August

Pennsylvania motorists who get comparisons of auto insurance rates will see a new set of prices after a handful of auto insurers’ rate changes take effect this month.

The following rate figures approved by Pennsylvania insurance regulators are on average, as actual rate changes will vary between policyholders.

The largest increase was at Viking Insurance, which will see a 7.7 percent rate hike overall, impacting about 5,000 policyholders. The average increase per policyholder will come in at $77.54. The change will be effective Aug. 20 for new business and Oct. 5 for renewal business.

LM General and LM Corporation will increase rates by 3.1 percent and 3 percent, respectively. The hikes for new business took effect last month, and renewal rates took effect Aug. 5. LM General’s hike affects almost 29,400 policyholders. The LM Corporation increase impacts 3,615 policyholders. For both companies, the average per-policyholder increase will be around $45.

Effective Sept. 1 for new business and Oct. 1 for renewal business, Mutual Benefit’s 5.7 percent rate increase impacts 16,235 policyholders, bringing an average per-policyholder increase of about $70.

Metropolitan Group Property and Casualty will hike rates by 2.9 percent, increases that go into effect Sept. 6 for new business and Oct. 11 for renewal business. The hike will affect 10,798 policyholders.

Separate Companies Affiliated with Large Insurers Increase Rates

Three Progressive-affiliated companies will increase rates in Pennsylvania to varying degrees. New rates for renewing customers went into effect on Aug. 8. Regulators approved the following:

— Progressive Advanced for a 4 percent hike for 112,895 of its policyholders
— Progressive Preferred for a 5.4 percent hike for 33,687 of its policyholders
— Progressive Specialty for a 5.4 percent hike for 131,899 of its policyholders

For all three Progressive companies, the average per-policyholder increase is about $36.50.

Three companies under the Liberty masthead—Liberty Corporation, Liberty Mutual Fire, First Liberty Corporation—were approved for rate hikes of about 7 percent. The hikes apply only apply to renewing business, affecting a total of 118,990 customers. This filing had the highest average per-policyholder increase, coming it at $134.

Rate Decreases also Approved

Regulators also approved two rate decreases in the batch of filings.

GEICO Casualty will decrease rates by 2 percent overall for 13,478 policyholders and $25.4 million worth of premiums. The change is already in effect for new business and will go into effect Sept. 13 for renewal business.

The drops include decreases to several forms of coverage, including bodily injury, collision, property damage, comprehensive, uninsured motorists and underinsured motorists.

American Independent was approved for a 0.9 percent decrease overall related to expansion of its good-customer discount. The decrease is already effective for new business and goes into effect for renewing business on Aug. 23.

About Charles Nguyen
Charles Nguyen is an enterprising journalist who reported for Patch.com and the Desert Dispatch and was the editor in chief of the Guardian (the twice-weekly newspaper at the University of California, San Diego) before coming to Online Auto Insurance News.

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