BIRMINGHAM, Ala., March 1 /PRNewswire/ — State Farm Mutual Automobile Insurance Company, the largest insurer of autos in Alabama and in the nation, announced today its auto insurance policyholders in Alabama will receive dividends totaling $21.6 million.
Alabama policyholders will receive 8.3 percent of their semi-annual premium. Although the amounts will vary significantly, the average dividend per vehicle in Alabama is $27. Dividend payments will begin in early April and will continue throughout the year. Policyholders can expect to receive their dividend near the time of their policy renewal. Most customers will receive their dividend by check. Those policyholders receiving less than $15 will be credited to their State Farm renewal premium.
State Farm Mutual policyholders in 46 states, the District of Columbia and the Canadian province of New Brunswick will receive a total of $1.25 billion in the company’s latest policyholder dividend declaration, approved by the State Farm Mutual board of directors.
With this dividend, State Farm Mutual will have returned $3.8 billion to auto policyholders companywide since 1997. Also, State Farm Mutual reduced its overall rate level in Alabama by 2.5 percent from the beginning of 2004 to the end of 2006. And, State Farm Mutual is lowering its overall rate level in Alabama an additional 3.8 percent effective March 5 for new business and April 5 for renewal business. This represents an annual savings of $22.4 million to the company’s Alabama customers.
ContactDavid Majors(205) [email protected] (R)
State Farm Mutual Automobile Insurance Company
CONTACT: David Majors of State Farm Mutual, +1-205-916-6098, [email protected]
Web site: http://www.statefarm.com/