Farmers Insurance indicated Friday that it will raise homeowner premiums by nearly 10 percent next year for about half of its customers in North Texas and across the state.
The higher rates, to take effect March 16, would affect about 350,000 Farmers customers who have either a Texas Family Home Policy or a Next Generation Home Policy. The Next Generation policy debuted in the state in early 2010.
Farmers last raised home insurance rates in Texas in March of this year, an increase of 3.9 percent.
A consumer group, Texas Watch, criticized the Farmers proposal as more of the same from big insurers in Texas. The group’s Alex Winslow said consumers are counting on new Texas Insurance Commissioner Eleanor Kitzman to “show that she isn’t just an industry lap dog” and use the authority she has to block unreasonable rate hikes.
“If she fails to act now, she is setting a dangerous precedent that will likely lead to even more rate hikes and coverage reductions,” he said.