CA Insurance Commissioner Announces 15 Percent Rate Cut for Explorer Auto Customers

Insurance Commissioner Steve Poizner today announced a 15 percent rate cut for Explorer Insurance Company’s auto insurance policyholders, saving them approximately $3.4 million.

“With a terrible economy and unemployment on the rise, Californians are struggling to make ends meet,” said Commissioner Poizner. “I am pleased to announce this significant rate cut today, which will save consumers and businesses millions of dollars.”

Explorer Insurance Company initially filed for a 17.6 percent increase in their auto insurance rates. After reviewing their rate filing application, Commissioner Poizner approved a 15 percent decrease in rates. As a result of this reduction, Explorer Insurance Company customers will save an average of about $100 per car annually. These savings are expected to go into effect in December, and will apply to renewing policyholders and new customers.

Since elected, Commissioner Poizner has approved $1.8 billion in rate reductions for California drivers and homeowners. Recent rate cuts include:

$255 million rate reduction for Allstate homeowners insurance policyholders
$50 million rate reduction for AAA of Northern California homeowners insurance policyholders
$30 million rate reduction for Fireman’s Fund homeowners insurance policyholders
$61 million rate reduction for Mercury auto, renters and homeowners insurance policyholders
$250 million rate reduction for Allstate auto insurance policyholders
$100 million rate reduction for AAA of Northern California auto customers
$65.8 million rate reduction for GEICO customers

In April, Commissioner Poizner issued new regulations to clarify and streamline the prior approval rate system, making the rate filing process more efficient, accurate and transparent. The Commissioner’s regulations also help to speed the approval of rate reductions so consumers can see savings sooner.

From: California Department of Insurance (http://www.insurance.ca.gov/)