GALVESTON (Galveston County Daily News) – After increasing rates by 24.7 percent last October, State Farm has added 11.8 percent to the price of a policy for Galveston homeowners.
A policy formerly costing Galveston residents $2,292 now costs $3,196, up 39.4 percent since this time last year.
The increase took effect June 1 for existing customers while new customers have been paying the rate since May 1.
State Farm’s new rate resulted in an average statewide increase of 4.5 percent. Galveston’s increase is the highest in the state, with Brownsville, Brownwood, Fort Worth, Orange and Port Lavaca following close behind.
Kevin Davis of State Farm said most customers pay less than the stated rates because of discounts and “in fact, the net effect of our October rate change was a decrease or no change for more than 300,000 of our 1.2 million customers.”
>From 2003 to 2008, State Farm had no changes to its policy base rates.