Louisiana’s largest auto insurers decrease charges as new legal guidelines take impact
KEY TAKEAWAYS:
- Progressive and State Farm accepted for statewide auto insurance coverage price decreases
- Progressive charges fall 6.6% and 4% throughout two subsidiaries beginning in 2026
- State Farm’s 5.9% reduce took impact Jan. 1, 2026
- Officers credit score new 2025 insurance coverage legal guidelines and fewer claims for the reductions
Louisiana’s largest auto insurers have lowered charges within the state, giving drivers a break in what has been the most costly market in America.
Republican Insurance coverage Commissioner Tim Temple introduced Jan. 7 that charges for Progressive Corp.’s two subsidiaries have each been accepted for decreases, which follows an introduced price lower from State Farm in Dec. 2025.
Progressive Safety will decrease its charges a mean of 6.6%, whereas Progressive Paloverde will decrease its charges a mean of 4%. Collectively, the Progressive firms insure virtually 500,000 Louisiana policyholders, which is about 23% of the market.
The Progressive adjustments take impact Jan. 16, 2026 for brand new enterprise and Feb. 13, 2026 for renewal enterprise.
Progressive’s lower follows State Farm’s 5.9% common lower that took impact Jan. 1, 2026.
State Farm is the state’s largest insurer with 30% of the market with greater than 1 million policyholders.
The decreases for Progressive and State Farm are a mean. Temple emphasised every policyholder’s price change will fluctuate based mostly on their particular person threat.
Temple, Gov. Jeff Landry and state lawmakers hope the speed decreases had been influenced by a bunch of latest legal guidelines handed in 2025 designed to decrease Louisiana’s nationally excessive auto insurance coverage charges.
Landry mentioned the brand new insurance coverage legal guidelines created a “balanced method” that may curb each insurance coverage firms’ income and private harm lawsuit awards and “maintain either side accountable.”
State Farm, the state’s largest auto insurer, introduced a 5.9% lower in charges final month earlier than the 2025 legal guidelines took impact on Jan. 1, 2026.
Temple mentioned Progressive indicated its decreases are primarily pushed by a discount in frequency of claims.
Greg Hilburn covers state politics for the USA TODAY Community of Louisiana. Observe him on Twitter @GregHilburn1.
This text initially appeared on Shreveport Instances: Louisiana’s largest auto insurers decrease charges as new legal guidelines take impact
Reporting by Greg Hilburn, Shreveport Instances / Shreveport Instances
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