BATON ROUGE, La. (AP) - State Farm, Louisiana's largest auto insurer, will cut its rates starting in April by an average of 3.2 percent for its roughly 1 million Louisiana policyholders.
Insurance Commissioner Jim Donelon announced the rate decrease on Thursday. It's the company's third rate decrease in the past nine months, totaling a drop of 7.7 percent.
The change, which will vary by policy, will go into effect on April 1, and be applied to policies as they are renewed.
Donelon said the decreases are attributable to competition in the marketplace.
State Farm's latest move will have a $48 million total impact, according to a rate request filed with the insurance department. Last year, the company cut rates by 2.7 percent in July and again by 1.8 percent in September.