California Approves First Increase for Auto Insurance in 19 Months
- December 9, 2021
- Written By Perr&Knight
On December 7, the California Department of Insurance (“CDI”) approved a 14.4% overall rate increase for Allmerica Financial Benefit Insurance Company’s Commercial Auto program. The company, which is part of The Hanover Insurance Group, submitted the filing on August 8, 2020.
Prior to this approval, the last California rate increase for personal or commercial auto was approved in April 2020. There are more than 40 rate increase filings currently pending approval for these lines. Given the backlog of filings at the CDI and the severity trends being experienced for auto claims, companies should work to file any increases needed sooner rather than later. Otherwise, they can expect to see an even longer line of filings in front of them.
Perr&Knight submits more filings in California than any other consulting firm. Our actuaries and state filing experts are available to assist you with navigating the CDI filing process.
Contact us today to learn more.
