A recent analysis has revealed that the insurer is charging more for coverage of homes in the area than its rivals.
According to the results of an analysis that was just conducted and that involved data regarding the premiums of 32 different homeowners insurance companies in the Dallas areas, State farm – the largest property insurer in Texas – is continuing to charge the highest rates, by a long shot.
In fact, the latest figures are showing that the next most expensive are nowhere near as high.
The study took into account the latest rate figures that have been submitted to the Texas Department of Insurance. This summer’s homeowners insurance rate filings have indicated that, once again, State Farm’s homeowners insurance premiums are well above the average in the majority of areas in the northern part of the state. Moreover, those rates have increased by 35 percent when compared to the same time a year ago.
The analysis has shown that homeowners insurance customers with this company are paying far more.
The analysis was conducted by The Dallas Morning News and revealed various examples of the higher amounts being paid by homeowners insurance policyholders in North Texas whose coverage is with State Farm. For example, in North Dallas, in the 75244 ZIP code, the average annual State Farm rate for a typical brick house with $150,000 in coverage is $2,347 per year.
When compared to the next most expensive insurer in that area for that same house and ZIP code, State Farm homeowners insurance customers are paying 32 percent ($890) more. Similarly, when the rates of the same 32 companies were compared in Arlington, at the ZIP code 76001, State Farm customers are paying $962 more than the average being charged by the other insurers, at $1,511 (for a total of $2,473 per year).
State Farm customers in Plano were paying even more than their neighbors with other homeowners insurance companies, as their premiums were double the average of $1,163 which was reflected by the insurance department’s annually compiled rate guides.
The homeowners insurance averages for the majority of the Dallas area were higher this year than they were in 2012. The analysis determined that the average increases among other insurers were between 7.5 and 10 percent, which is strikingly less than those from State Farm.