FOR IMMEDIATE RELEASE
AMICA MUTUAL TO CUT NEW YORK AUTO RATES BY 10 PERCENT IN 2005
Acting Superintendent of Insurance Howard Mills today announced that most New Yorkers who insure their private passenger automobiles with Amica Mutual Insurance Company will receive on average a 10 percent rate reduction, resulting in a cumulative savings of $12 million for Amicas customers.
"Amica is now the fifth auto insurance carrier to announce that they will be reducing their rates for New York drivers in 2005," Acting Superintendent Mills stated. "But the Insurance Department remains committed to translating Governor Patakis fraud-fighting and regulatory reform successes into even more savings for drivers statewide."
In a filing approved this week by the New York State Insurance Department, 67 percent of Amicas 63,000-plus New York policyholders will see double-digit percentage premium rate cuts starting with policies that are renewed on or after May 1, 2005. About 30 percent of Amicas New York customers will realize single-digit percentage premium rate cuts. More than three-quarters of Amicas policyholders reside upstate.
In an unprecedented move, the New York State Insurance Department asked the states largest auto insurance carriers in November 2004 to meet with the Departments senior management team to discuss possible rate reductions in light of compelling industry data indicating that losses had dropped substantially between 2002 and the third quarter of 2004. Amica, a Rhode Island-based company, joins four other insurers who are implementing premium rate cuts and saving New York drivers millions in 2005. The list of insurers and the estimated consumer savings to date now exceed $175 million and include GEICO ($100 million), Progressive ($33 million), Nationwide ($18 million) and MetLife ($15 million). Meetings with other carriers are continuing.