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State Farm Launches New Program in Illinois
State Farm auto insurance is following in Progressive’s footsteps by rolling out a new program that would base insurance premiums on how far motorists drive. State Farm will increase or decrease some of its Illinois policy holders’ rates next year under the new Drive Safe and Save Program.
The Bloomington, Illinois based company states that the new program, which launched last week, will only be available to its customers who have OnStar devises installed on their vehicles and use its vehicle diagnostic tracking tool. The amount of premium paid can change at each renewal date as odometer readings are available. State Farm maintains that those who drive the average 12,000 miles per year will save about 10 percent. Some of the 250,000 State Farm policy holders in Illinois could see savings up to 45 percent.
“State Farm is committed to accurately measuring risk so that our customers are only paying their fair share,” said spokeswoman Angie Rinock. “This, and similar programs, allow us to better serve our policyholders.”
Some policy holders may see their rates increase under the new program. Those who are classified in their auto policy as short-mileage drivers — 7,500 miles per year or less — but who are found to actually be long-mileage drivers could see their premium rise, she said. But the insurer cautions that customer would save money compared to one who is a long-mileage driver not enrolled in Drive Safe and Save. Rinock said customers can check on their current classification with their State Farm agent.
Mileage is the only information being collected by State Farm, unlike under Progressive’s Snapshot Program. State Farm will not check on other driving behavior like whether you speed, Rinock said. A pilot version of Drive Safe and Save launched in 2009 in Ohio, and it has also been rolled out in California and Texas. State Farm is the largest auto insurer in the U.S.
On The Web
- Tornadoes Spawn Claims to State Farm (online.wsj.com)
- State Farm Ordered to Refund $350 Million to Customers for Overcharges (walletpop.com)
- …State Farm is There (evankessler.wordpress.com)
- Like a Good Neighbor (iowabiz.com)
Tagged Bloomington Illinois, California, Illinois, Insurance, Ohio, OnStar, State Farm Insurance, Texas
Tampa renters insuranceSep 24, 2011 at 5:35 pm
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One thing I have actually noticed is there are plenty of fallacies regarding the lenders intentions while talking about home foreclosure. One myth in particular would be the fact the bank needs to have your house. The bank wants your hard earned dollars, not your home. They want the bucks they lent you having interest. Averting the bank will still only draw any foreclosed realization. Thanks for your article.
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I believe that a home foreclosure can have a major effect on the debtor’s life. Home foreclosures can have a Seven to several years negative impact on a borrower’s credit report. Any borrower that has applied for home financing or almost any loans for that matter, knows that the worse credit rating will be, the more tough it is for any decent financial loan. In addition, it may possibly affect a new borrower’s capacity to find a respectable place to let or hire, if that gets the alternative houses solution. Good blog post.
In accordance with my research, after a the foreclosure home is bought at an auction, it is common for the borrower in order to still have the remaining balance on the mortgage. There are many creditors who aim to have all fees and liens cleared by the upcoming buyer. On the other hand, depending on certain programs, legislation, and state guidelines there may be several loans which are not easily solved through the shift of financial products. Therefore, the responsibility still lies on the lender that has got his or her property in foreclosure process. Thank you sharing your ideas on this weblog.