AllState's Auto Insurance Rates Targeted in California

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UPDATED: Feb 25, 2020

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California Insurance Commissioner Steve Poizner recently issued an order to Allstate’s auto insurance units in California to reduce the rates currently charged for auto insurance by nearly 16 percent. The rate reduction will become effective by mid-April and will save California consumers approximately $245 million annually in auto insurance premiums, or roughly $125 per vehicle.

“This reduction reaffirms my commitment to ensuring that excessive rates are not charged to California consumers. At the same time, the rate reduction is fair and reasonable for the company,” Poizner said.

Not surprisingly, Allstate disagreed with the commissioner and believed the rate reduction is excessive. The company anticipated a reduction of about 8 percent and is considering filing an appeal.



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