American Family, Progressive make significant private auto hikes, cuts in April

American Family Insurance Group and The Progressive Corp. subsidiaries in April received approvals to make significant private-passenger auto rate changes in both directions, according to an S&P Global Market Intelligence analysis

Regulators across three states approved four rate hikes for American Family that could potentially increase the group's calculated premiums by $51.6 million. The group also received 11 rate-cut approvals that could lower its premiums total by $37.0 million. Among the overall top 10 private auto rate decreases for April, five were for American Family subsidiary American Family Insurance Co.

Six Progressive units obtained a total of 12 rate-increase approvals, which could result in an estimated aggregate premium increase of $38.6 million. Almost 94% of that total may come from New York, where regulators approved eight requests. The insurance group also received sign-off on 21 rate-reduction requests that could decrease aggregate premiums by $25.4 million.

This study covers 434 private auto rate filings approved in April, of which 108 resulted in calculated premium increases, 169 led to decreases and the rest had no impact on calculated premiums.