The industry continues to be challenged with increasing loss severity in Personal Auto. At Patriot Insurance, we faced this same challenge, with Personal Lines’ 2019 year-end loss ratio for auto finishing at 73.1%. Increasing medical costs and vehicle repairs also continue to drive loss severity experience. 

To help combat these adverse trends of increasing severity, we will be making adjustments to our Personal Lines Auto rates effective April 1, 2020:  

• Multivariate Auto Model Refresh: Patriot is implementing a portion of the Multivariate Auto Model Refresh that will focus on Other-Than-Collision and Collision coverages. 

o The following rating factors will be adjusted:

? Model year

? Rating tier

? Driver-to-vehicle ratio

? Insurance score

? Loyalty

o Based on the modifications to our rate relativities, agencies may find pricing will vary from policy to policy depending upon the unique risk characteristics.

• Personal Auto Rate Adjustments: The specific of this auto rate change are:

o Overall Change: 0.0%

o While the overall rate change is 0% across the book of business, please note that there are some policies that will be impacted based on the rating factors adjusted.

• Texting/Handheld Mobile Device Violations: Beginning with April 1, 2020 new business and renewals, these violations will now be considered a major violation type.  

We look forward to working together to lay a solid foundation for our Personal Auto results this year. If you or your staff have any questions regarding these changes, please contact your Personal Lines field manager or underwriter.

Thank you for your continued support and partnership with Patriot Insurance.