Drivers in the state will be saving a total of $174.1 million per year from the decreased premiums.
State Farm recently announced that it plans to implement another Ohio auto insurance rates reduction. It will slash premiums by an average of 14.3 percent, according to the statement issued on July 29.
The impact of the COVID-19 pandemic was cited as the reason for the premiums cut.
According to State Farm Insurance, “Driving behaviors across the country continue to evolve during the COVID-19 pandemic. Based on current trends, State Farm is working to reduce auto insurance rates in Ohio by 14.3%.” The recent intentions for an Ohio auto insurance ratesdecrease is far from the insurer’s first in the state or across the country.
Due to the pandemic, the company has been trimming back the premiums drivers have been paying in order to more closely reflect the reduced risk levels. Since the pandemic continues to reduce the number of cars on the roads, the insurer is receiving fewer claims. This decrease in payouts has meant that it can decrease the amount drivers need to pay for their coverage. Policies are not as expensive to provide, so they won’t cost as much.
The insurer’s statement said that the Ohio auto insurance rates reduction will impact 1.9 million people.
The statement said that those 1.9 million drivers across the state would save a total of $174.1 million per year. This change will apply both to existing customers once their policies are up for renewal as well as new customers and those who are former but returning State Farm customers.
“Current State Farm driving data and claims experience show a considerable decline in miles driven and fewer accidents,” said the insurer’s senior vice president Rob Stewart. “As a result, we’re looking for ways to continue supporting our Ohio customers while we monitor and adjust to trends.”
The specific Ohio auto insurance rate reductions received by individual drivers will vary based on their unique policy details. Existing, new and returning customers are encouraged to contact a State Farm agent regarding individual policies, coverage details, and discount opportunities for further savings. This includes the insurer’s Drive Safe & Save telematics program.