Smart Auto Insurance Blog

According to an article on Albany, GA’s WALB.com by Delivrine Registre, auto insurance rates, as well as homeowner insurance rates are increasing for policy holders in Georgia, partly due to the recession.

Georgia auto insurance rates are rising, but not as sharply as homeowners insurance.  The Georgia Department of Insurance states that four of the biggest insurance companies in Georgia plan to raise their rates anywhere from 5-11% by the end of 2009.  The average increase in auto insurance rates will be about 2.4%. 

Not only has the recession been affecting businesses like insurance companies, but spring storms as well as flooding causes these companies to suffer additional losses.  There is no better time to shop around for cheaper Georgia auto insurance.

According to insurance.com’s monthly Car Insurance Rate Watch Report, average car insurance rates in March decreased in 19 states (compared with February).   Rates were higher in 15 states on average and basically unchanged in 13 states.

The 5 states that enjoyed the largest rate decrease in March were:

1. Arizona
2. Virginia
3. New Hampshire
4. Texas
5. Georgia

The 5 states where average car insurance rates increased the most in March were:

1. South Dakota
2. Nebraska
3. Minnesota
4. Maine
5. West Virginia

In addition, insurance.com found that two-thirds of March auto insurance shoppers were seeking a new policy because their rate was too high, or they received their bill and the rate had gone up.

Georgia auto insurance companies such as State Farm are charging lower auto insurance rates to drivers with better credit ratings, WALB News’ Jim Wallace reports. With these ratings, the higher the better. Insurers believe that lower credit ratings correlate with a higher likelihood of filing auto accident claims. A motorist’s credit rating plays a large part in calculating the insurance score that determines the premiums they charge. (Other factors include your driving record and demographic characteristics like age, location, and marital status.) Unfortunately, the perceived greater risk results in more expensive auto insurance for those with bad credit.

If your credit is good, Jim says that this is the perfect time to take advantage of the competition in the state’s car insurance market. Otherwise, try to improve your credit rating before shopping around for auto insurance quotes. You could save hundreds of dollars per year!

(Photo credit: History.com)

According to a press release, State Farm is lowering its Georgia auto insurance rates next month. As of March 9th, both comprehensive coverage and collision coverage premiums will decrease by an average of 1.5%. (However, medical and liability coverage rates will not change.) This is thanks to State Farm having to pay out fewer insurance claims than expected. This decision by the largest auto insurer in the state could save drivers over $16 million!

Get your own State Farm quote now and see if you will save money under the new rates.

A Business Wire press release has announced that Geico plans to lower its rates for Georgia auto insurance! The company’s representative states that on average, the same policies will cost 2.3% less than they did previously. She credits greater efficiency with better Geico insurance quotes at the same time other insurers in Georgia are increasing premiums.

The decreases go into effect on February 8th for existing policies. They apply to newly bought policies immediately.

(Photo credit: sarahee under CC 2.0)

Some Georgia auto insurance customers will experience rate increases soon according to a story earlier this month published by macon.com.  Several auto insurers notified the commissioners office that they plan to raise their private passenger auto insurance rates while a handful of others said their rates would be dropping.   A new law that went into effect on 10/1 blocked the commissioner’s authority to block proposed insurance rate increases.

The following 19 auto insurance companies have filed to make changes to their rates (14 increases and 5 decreases):

• AIG National+2.4%
• Central Mutual -0.24%
• Grange Property & Casualty +7.4%
• 21st Century Insurance +8.9%
• GEICO -0.9%
• Government Employees Insurance -0.9%
• American Security Insurance +11.1%
• Unitrin +7.5%
• AIG Centenial +9.9%
• AIG Insurance+8.1%
• American Home Assurance +8.2%
• American International Insurance 9.0%
• TrustGuard Insurance 9.98%
• Grange Mutual Casualty 2.45%
• Depositors Insurance 7.6%
• Lincoln General -10.1%
• Allmerica +8.5%
• State Farm -0.1%
• Victoria Select +3.6%

In total, the Georgia auto insurance rate changes ranged from a 11% increase to 10% decrease.