Florida Approves State Farm 6.4% Increase

Florida regulators have approved an average 6.9 percent homeowners’ insurance rate hike for State Farm Florida Insurance Co. It is the insurer’s fifth increase in as many years.

In addition to the increase for homeowners, rates for renters will increase by six percent while rates for condominium owners will drop by six percent. The new rates will apply starting Feb. 1, 2013.

The insurer had initially sought a 14.9 percent increase, citing hurricane and underwriting losses but State Farm Florida spokesperson Michael Bower said the insurer would not appeal the decision.

Regulators also approved a change in deductibles for homes valued more than $50,000.

The company is the third largest homeowner insurer in the state with more than 460,000 policyholders.