HOUSTON – State officials and Farmers Insurance Group reached a settlement Saturday, the company agreed to pay $100 million to settle accusations of gouging home insurance customers. Farmers will refund customers $65 million and agreed to a 6.8 percent rate reduction valued at $35 million. As part of the settlement the company will pay no fines and will not admit to any wrongdoing.
The state sought $150 million for consumers and threatened to assess billions of dollars in fines. In response, Farmers, the second-largest provider of home insurance in Texas, threatened to stop renewing policies this month.
(via The Associated Press)
{ 5 comments }
Lasted year I had my home owners insurance with Farmers.
My rate jumped nearly 200%. I eventually sold my home and am now renting a house. Do I qualify for a rebate based on the class action suit settlement reached by the state and Farmers insurance? If so, how do I go about applying for this rebate?
I want to confirm with someone. On the news a few months ago I saw that Farmers Insurance will decrease Auto Insurance Rates by 17%. The decrease would take effect when your Renewal goes into effect. I’ve received by Auto Renewal & there is no change. My impression that this was for everyone. I saw it on Channel 13 News in Houston, Texas. Could someone please confirm this with me. My e-mail address is above.
Thanks.
Leticia Zavala
I have been with farmers ins. for 20years. My homeowners insurance renewed in Oct 2004. with an increase in premium. Where is my recuction
Ken
Not only did our Home Owners Premiums increase by almost 200%, but our Auto premiums increased by 20%, with never a ticket or chargeable accident since being licensed to drive. Who is kidding who? When do we get the lower rates or refunds??
I have been with farmers for 4 years. I recieved a renewal letter. my rate has jumped up almost 20 percent. They stated that my credit was bad. I had no tickets, accidents, nothing but a nightmare looking at my dec page. I know it is terrible. I have taken chances driving without insurance. I know how all insurance premium payers feel. It seems that we elect politicians who are for these companies. Not for the persons paying the bill. I feel like we need legislation banning use of credit score to determine the insurance rate on the premium. let me know what you feel. my email address is above. as far emailing for rebates. I can;t help anyone on this. I owe a bill anyways. I am not worried about it. Farmers used to be good until they started jacking up the prices on texas homeowners and auto drivers. I feel sorry for the premium payers.
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