Texas approves significant homeowners rate increases in June

_{U.S. states employ a variety of rate regulation mechanisms, including prior approval, modified prior approval, file and use, and use and file. Some states do not require explicit regulatory approval prior to insurers using new rates. This analysis is based on when rate filings are "disposed" by state regulators and does not take into account when those new rates became effective for new and renewal business. In some instances, a new rate may have been in effect prior to the month the filing was approved by the regulator.}

Four of the most impactful homeowners rate increases disposed in June were in Texas, according to an S&P Global Market Intelligence analysis.

The trend of increasing homeowners insurance rates continued in the Lone Star state as regulators approved 14 rate hikes in June. Those rate increases could boost industrywide premiums by $95.2 million, the largest projected increase for any state for the month.

USAA logs largest premium increases

United Services Automobile Association appeared three times in the list of the 10 largest rate increases and is expected to see the largest cumulative positive premium impact. The group received a total of 28 rate hike approvals from regulators across seven states that, when combined, could boost its written premiums by $67.2 million. About 70% of the projected increase is expected to result from four rate hikes in Texas that will take effect in mid-September for both new business and renewals.

Liberty Mutual also boosts rates

Liberty Mutual Holding Co. Inc., the third-largest homeowners insurance underwriter in the U.S., received approval for 34 rate increases across 11 states and is expected to see the second-largest aggregate positive premium impact at $62.1 million. Two of the group's rate hikes were among the 10 most notable increases approved during the month and are expected to account for $35.1 million, or 56.6%, of the expected premium increases.

* Download a template to analyze rate changes for selected entities, state or type of insurance over a selected period. * Read about rate impacts from Florida's Reinsurance to Assist Policyholders program.

State Farm tops rate decrease chart

At the other end of the spectrum, State Farm Mutual Automobile Insurance Co. subsidiary State Farm Fire & Casualty Co. received regulatory approval for the most significant rate decrease during the month. The 6.5% rate cut in West Virginia is estimated to reduce State Farm's total premiums by almost $455,000 that will impact nearly 9,000 policyholders. The rate change will take effect on Oct. 1 and Nov. 15 for new business and renewals, respectively.