People across Texas are already facing financial headaches due to higher costs across the board with the highest inflation in 40 years.
But they are also dealing with the highest annual increase in auto insurance rates in at least 20 years.
Auto insurance rates in Texas soared an average of 23.8% in 2022, eight times higher than in 2021 and the highest annual increase in at least 20 years, according to the Texas Department of Insurance. In addition, homeowners insurance rates in Texas rose an average of 10.8% last year, the highest annual gain since 2012.
Rate increases for auto coverage ranged widely among the state’s largest insurers, according to a spokesman for the Texas Department of Insurance:
- GEICO raised auto rates 53.9%
- Allstate raised rates 37.8%
- Farmers raised rates 32%
- Progressive raised rates about 22%
- State Farm raised rates 17.1%
Progressive collected $3.8 billion in auto insurance premiums in 2021, the most of any insurer, according to the Texas Department of Insurance’s 2022 annual report, followed by State Farm ($3.16 billion) and GEICO ($2.52 billion).
