State Farm Customers To Pay More Again
State Farm Insurance has now raised its auto rates in Illinois more than in any time in the last fourteen years.
Other insurers have also been increasing premiums charged to customers.
State Farm increased rates an average of 5.8 percent at the end of October. That is on top of a 2.7 percent jump in February.
The Bloomington-based insurer covers a third of Illinois motor vehicles.
State Farm says claims have increased because low gas prices have spurred the number of miles driven, and the cost per claim has risen sharply because of smart car technology. For instance, many vehicles now have sophisticated sensors even in bumpers. The rise in distracted driving has also boosted the number of accidents and resulting claims, according to the company.
State Farm rate payers will see the increases take effect over the next six months as their policies come up for renewal.