Ohio Department of Insurance Director Mary Jo Hudson announced that the average rates for the state’s top 10 private passenger auto insurers increased 0.8 percent in 2008. The average rates for the state’s top 10 homeowners increased by 6.9 percent in 2008.
“While we did experience premium rate increases in 2008, it’s important to remember that Ohio still has some of the lowest insurance rates in the nation,” Director Hudson said. “The Department will continue to monitor these markets, and also assure that Ohioans have access to competitive coverage.”
Ohio has the 13th lowest auto insurance and 6th lowest homeowners insurance average premiums in the country, according to the most recent figures from the National Association of Insurance Commissioners (NAIC).
Auto insurance rates were unchanged overall for State Farm, whereas the other top 10 writers implemented slight overall increases (0-3 percent). Homeowner insurers implemented larger overall rate increases than have been seen in the previous four years (-.5 to 13.1 percent).
Based on the rate activity thus far and industry data, Department analysts expect the 2009 rate activity to continue similarly as it did in 2008. For auto insurance, the average rates will likely increase slightly. For homeowners insurance, the average rates will likely increase. Changes in auto insurance rates are associated with medical costs, weather-related claims, the number of cars on Ohio roads and repair costs, while changes in homeowners insurance rates can be attributed to building and material costs and weather-related claims.
Source: Ohio Department of Insurance, www.insurance.ohio.gov.