Farmers Insurance has filed for an average rate increase of 9.9 percent for Texas homeowners insurance policies.
The Texas Department of Insurance is reviewing the rate increase, which is to take effect Feb. 16 on typical homeowner policies across the state.
Farmers spokeswoman Michelle Levy said the rate was filed earlier this week and that the increase is intended to cover the increased costs of labor and materials.
It has been under consideration for several months and is not occurring because of Hurricanes Ike and Dolly -- both of which struck Texas this year.
Texas has a “file and use” policy that allows a company to file a rate and use it, though the state insurance department can review whether the rate is fair.
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