Ohio auto and homeowners rates decrease in 2006

The Ohio Department of Insurance recently an-nounced that the average rates for the state’s top 10 auto and homeowners insurers — which represent 72 percent of both markets — decreased 1.2 percent and 0.8 percent, respectively, in 2006.

Ohio has the 14th lowest auto insurance and 7th lowest homeowners insurance average premiums in the country, according to the most recent figures from the National Association of Insurance Commissioners.

Auto rates decreased for the second consecutive year behind rate decreases by Progressive, Westfield, Cincinnati Financial, Erie Insurance, American Family Insurance and Geico. Rate decreases by State Farm Insurance, Cincinnati Financial, Westfield, Erie Insurance and Auto Owners Insurance helped decrease homeowners rates for the first time in recent years.

Department analysts expect the 2007 rate activity to be similar to the 2006 figures. 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.