Menu Contact
Serafini, Michalowski, Derkacz & Associates, P.C.
free initial consultation
(866) 316-2867

Insurer-Allstate agrees to 28.5% rate reduction for California residents

I hate to pick on Allstate again, but they have really had some big problems lately.

The much maligned insurer, Allstate, recently agreed to a 28.5% rate reduction for all of its California residents. Apparently, in order to avoid the potential of having to pay a huge amount in refunds to its customers, Allstate agreed to the rate reduction.

According to the LA times article, a number of Allstate's customers were still angry despite the rate reduction because they have been paying too much for too long. Apparently, the rate cut is worth about $250,000,000 million dollars for the consumers.

If we do the math, it looks like Allstate is going to keep all of the excessive premiums it received-at least $250,000,000, maybe more?

Now, I think maybe we have an answer to the previous questions posed-how can Allstate afford to repeatedly pay millions of dollars in bad faith claims.

No Comments

Leave a comment
Comment Information

How Can We Help You?

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy