Auto Insurance - State Farm Announces Annual Vehicle Insurance Ratings

State Farm Insurance has announced its yearly automobile insurance ratings for particular makes and models.

Using its broad claims statistics, the company draws up what they call a collision damage index (CDI) and a damage and theft index (DTI). The CDI figures out what each particular automobile’s premium charge will be. The DTI calculates which cars will be eligible for the particular premium for comprehensive insurance coverage.

The company uses a similar program based on an evaluation of the cost of claims involving injury to occupants of the insured vehicle. Depending on that cost, different makes and models of vehicles qualify for varying levels of vehicle safety discounts (VSD).

State Farm also utilizes its payment sums to create a liability index (LRI). The LRI calculates the price of a premium for liability insurance.

These ratings are not applicable in North Carolina, Massachusetts, and Canada.