For Release: July 1, 2008
NEWS RELEASE
$30 Million Reduction for Fireman's Fund Homeowners Policyholders, Insurance Commissioner Poizner Announces
Bay Area Policyholders to Enjoy $1.7 Million in Savings
SAN FRANCISCO - Insurance Commissioner Steve Poizner today announced his approval of a 17.9% reduction in insurance premiums for California homeowners.
This reduction will bring a total of $30 million in savings to Fireman's Fund policyholders.
"Between the soaring price of gasoline and rising unemployment, the cost of living is spiraling out of control for so many Californians," said Commissioner Poizner.
"I am pleased to approve this rate reduction which will ease the impact of higher costs on struggling household budgets- saving millions of dollars for thousands of Californians. I will continue to work to make sure that California consumers are receiving the fairest rates possible."
Under the rate reductions announced today, homeowners will save an average of $505 per year, per policy.
Fireman's Fund is the 9th largest homeowners insurer in California, with 58,740 policyholders.
San Francisco County Fireman's Fund customers will enjoy a total of $1.7 million in savings.
Los Angeles policyholders will save a total of $5.3 million.
The new rates will take effect on August 1, 2008 and apply to renewing policyholders and new customers.
"Our customers want high quality, innovative products and services which we now offer at lower rates - it is important for us to be competitive in the California marketplace," said Bruce Petersen, chief operating officer, Fireman's Fund Personal Insurance.
Last month, Commissioner Poizner announced that he intends to approve $61 million in rate reductions for Mercury auto, renters and homeowners policies.
In April, Commissioner Poizner ordered Allstate to reduce their rates for auto insurance policyholders by $250 million.
Since elected, Commissioner Poizner has approved more than $1.5 billion in rate reductions for California drivers and homeowners, including a $100 million reduction for AAA of Northern California, and a $65.8 million reduction for GEICO customers.
In April, Commissioner Poizner issued new regulations to clarify and streamline the prior approval rate system, making the rate filing process more efficient, accurate and transparent.
The Commissioner's regulations also help to speed the approval of rate reductions so consumers can see savings sooner.
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Please visit the Department of Insurance Web site at www.insurance.ca.gov. Non media inquiries should be directed to the Consumer Hotline at 800.927.HELP . Callers from out of state, please dial 213.897.8921 . Telecommunications Devices for the Deaf (TDD), please dial 800.482.4833 .
