Farmers to Raise Homeowner Rates by 10 Percent in 2012

Farmers Insurance plans to raise homeowner premiums by 10 percent in 2012, the Houston Chronicle reports.

The rates would go into effect on March 16 for 350,000 customers who have either a Texas Family Home Policy or a Next Generation Home Policy.

The insurer also plans to add discounts of 4 to 5 percent for customers who have both cars and homes covered by Farmers.

The move is necessary because the company said they have lost over $250 million in Texas over the past three years, not including claims from Hurricane Ike or the wildfires in Bastrop County.

Farmers raised home insurance rates nearly 4 percent in March of this year, the paper reported.

The increase was filed last Friday with the Texas Department of Insurance.

State Farm announced last month they were planning to raise rates by about 10 percent this month.