Traditionally, auto insurance comes in six-month terms, and you must renew your policy, and risk a rate change, twice a year. Now, however, 256,000 clients of the Farmers Insurance Group in Ohio will have access to a new product.
Effective on Monday, December 17th, Farmers will be offering its Ohio policy holders the option for a full-year policy, instead of the existing six-month policy, though the latter will continue to be offered as well, to those who want it. The new annual policy will be available to new clients as well as existing ones.
Kevin Kelso, president of Personal Lines, Farmers Insurance Group, explained the decision to offer this product this way: “The annual auto policy provides the same wide array of coverages and discounts available on the six-month policy, and does so at a price that is ‘locked’ in for a full year.”
Kelso also said that existing policy holders would be offered the new annual term as their normal renewals came up, so there is no need for anyone to rush as if this is a limited-time offer.
Farmers Insurance Group has not released information about whether or not monthly billing is allowed on this product.