State Insurance Commissioner Angered by Allstate’s Auto Rate Increases

Allstate Auto Insurance customers could experience sticker shock when they receive their renewal statements, and that has angered Insurance and Safety Fire Commissioner John F. King.

Allstate Property & Casualty Company has filed an overall statewide automobile rate increase of 25 percent for Georgia policyholders.

King said the increase means Allstate has now bypassed his office to raise overall rates in Georgia by 40% in this calendar year alone.

“I am angry and disappointed that Allstate has chosen to exploit a loophole in state law to implement such a substantial increase in costs on hardworking Georgians when families are already struggling with historic inflation everywhere from the gas pump to the grocery store,” said Commissioner King. “This latest increase means Allstate has now bypassed our office to raise overall rates in Georgia by 40% in this calendar year alone. In response, I have begun conversations with our legislative leaders regarding changes to state law to give our office additional authorities to protect consumers from these types of inexcusable actions.”

Under Georgia’s dual rate filing system governing automobile insurance rates established in Georgia state law, the Insurance Commissioner only has the authority to approve or disapprove minimum limits policy filings, while all other filings can go into effect immediately under what is known as “file and use.”

The latest rate increase filed by Allstate falls into the “file and use” category.

This increase will go into effect for new Allstate customers on September 12, while current customers will see the increase on their renewals beginning October 16.

Commissioner King is encouraging Georgia auto policyholders to reach out to Allstate to discuss the reasons for the increase and the options available to them.

Allstate customers with questions should contact the Company by calling, 1-800- 255-7828, or by going online to the Allstate website.