Georgia Launches Investigation Into Rate Hike By Allstate Insurance

| April 12, 2016

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ATLANTA – Insurance Commissioner Ralph Hudgens is issuing a consumer alert to inform Allstate Property & Casualty Insurance Company policyholders that the insurer has filed an overall statewide automobile rate increase of 25 percent that will be implemented on May 22, 2016. Hudgens warns policyholders that the 25 percent figure is only an average rate change for the entire state, and that many policyholders should be prepared to see a rate change as high as 58.3 percent.

“I am deeply concerned about this filing and the impact it could have on consumers,” Commissioner Hudgens said. “Georgia law prohibits me from stopping or delaying this increase unless an actuarial examination proves the rate to be legally excessive.”

On Monday, Commissioner Hudgens directed Georgia department staff to initiate a professional level examination of the Allstate filing to determine if the rate increase is defendable under state law. If the results of the examination show that the filing cannot adequately support the increase, he intends to take every measure allowed to him by law to protect policyholders.

“Georgia adopted a ‘file and use’ system in 2008 to promote competition and lower rates among insurance companies,” Hudgens said. “This rate filing appears to promote neither.”

The Georgia Department of Insurance recommends that policyholders discuss the reasons for the increase and options available to them with Allstate. These options could include revising deductibles, reviewing coverages needed or comparison shopping to find the right mix of coverage and price.

The Allstate Group of companies is the second largest automobile policy provider in the state of Georgia. As of Dec. 31, 2015, they held a market share of 11 percent of all Georgia automobile policies. Allstate can be contacted by telephone at 1-800-255-7828. You can also reach them online at or tweet them at @Allstatecares.

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2 Comments on "Georgia Launches Investigation Into Rate Hike By Allstate Insurance"

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  1. Deborah Rhoades says:

    I think the good Commissioner needs to go back and really look because Allstate raises rates add or subtracts discounts every 6 months for one reason or another. They get you to switch with a low rate but then slowly each 6 month period one thing after another you lose a discount here, a rate changes there, and before you know it you are right back where you were with the other company you came from, so you haven’t accomplished anything. its bait and switch!

  2. really says:

    Come on commish 25% is ridiculous and Allstate is a company that does business in Ga they should have to play by our rules. Get on your game and make them give rates that are comparable and fair to the citizens of Ga.