State Farm Raises Rates For Coastal Alabama

Citing coastal growth and hurricane threats, State Farm will boost its homeowners insurance rates by 12 percent to 18 percent in Mobile and Baldwin counties.

By: Jamie Burch | WKRG
Published: July 23, 2008

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MOBILE, Ala. (AP) - Citing coastal growth and hurricane threats,
State Farm will boost its homeowners insurance rates by 12 percent
to 18 percent in Mobile and Baldwin counties.
The Alabama Department of Insurance approved the new rates
Tuesday for the state's largest property insurer. Some 700 policies
on the coast also will lose State Farm's wind coverage over two
years.
State Farm also will require a hurricane deductible equal to 5
percent of the value of a policy for renewing Mobile and Baldwin
customers. Those customers will pay a 1 percent deductible for
other losses, including fires and thefts.
Elsewhere in Alabama, State Farm spokesman David Majors says
rates will drop by an average of 0.9 percent.

(Copyright 2008 by The Associated Press. All Rights Reserved.)