Beginning November 1 2009 for new policies and on or after December 1, 2009 for renewing policies State Farm is reducing or eliminating discounts on policies that State Farm policyholders have been receiving for years. The type of policies affected include homeowners, renters, and condominium unit-owners.
According to State Farm the state wide average rate increase will be 28%, but many policyholders will rates go up much more than that. Even with this rate increase, State Farm is going ahead with its plan to cancel more than 1,250,000 homes, condos, and business property policies in Florida. State Farm says that it must raise the Florida policyholders rates because they are losing money in Florida.
