Progressive Approved for 2.2% Auto Insurance Rate Decrease in Louisiana

Louisiana Insurance Commissioner Jim Donelon has approved a filing by Progressive Security Insurance Co. for a 2.2% rate decrease on new and renewal auto insurance business in the state. The decreases will take effect in late summer, according to the Louisiana Department of Insurance.

“This rate decrease by the second-largest auto insurer in the state is a sign of continued benefits brought about by competition and hopefully more good news to come,” Donelon said in a statement released by the LDI. “In my opinion, Progressive’s action is an appropriate response to State Farm’s recent efforts to reclaim auto policies they have lost and a sign of competition working for consumers.”

Over the last year, Donelon granted State Farm approval for three rate decreases for coverage on private passenger vehicles. The total impact of the rate changes taken together is a decrease of 7.7 percent. State Farm is the largest auto insurer in the state with 1,000,000 policies but has lost about 100,000 policies over the last two years.

More than 175,000 Progressive auto insurance policyholders in Louisiana will see a 2.2 percent rate decrease, which will take effect in September for renewed policies.

Source: LDI