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Alief, Texas - On a day that marks the official start of the 2006 hurricane season, State Representative Hubert Vo today called on state officials to immediately reject rate hike requests filed this week with the Texas Department of Insurance by the state's largest home insurer.
"Texas homeowners already pay twice the national average to protect their homes," Vo said. "The state should be demanding that Big Insurance lower its rates, not granting permission to raise them even more."
State Farm, the leading home insurance carrier in Texas, this week asked state officials to approve rate hikes. The increases would be heaviest for homeowners in Fort Bend, Galveston, and Harris counties.
State Farm is in the midst of a court battle to avoid reducing its rates by 12 percent as ordered by the state two years ago.
Vo said the company's request follows on the heels of news last month that Allstate will also raise rates after being forced to lower them slightly as the result of another legal battle.
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