With ever rising gas prices it’s nice to get some good news.
Mercury General Corp. announced that it will cut auto and home insurance rates for about 1.7 million customers this year, projecting the savings at $61 million.
Most of the savings comes from a 3-percent reduction in auto insurance rates that took effect last month. Mercury, which is the third-largest auto insurance in California, reduced annual rates by about $30 per vehicle for 1.5 million customers.
Mercury also planned to drop its homeowner insurance rates by 10 percent as of August, saving 224,000 customers about $80 to $100 a year, depending on where they live in the state.
Renter insurance rates will drop 33 percent for savings of $80 to $85 a year. Mercury insures 20,000 rental units in California.
“Faced with skyrocketing food and gasoline prices, Mercury’s policyholders won’t have to worry about the cost of their insurance,” Mercury Chairman George Joseph said in a statement.
