Early 2005 has seen the Pennsylvania insurance marketplace open up somewhat. More carriers are returning to the state to provide Pennsylvania homeowner insurance. The Pennsylvania auto insurance market seems prime for new carriers to come in. The newest player to come into the market is 21st Century Auto Insurance.

The outlook for the Pennsylvania insurance market is good due to that fact that in in 2001-2005, home owners' insurance rates have stabilized and competition has returned to the market. Greater competition by insurers will translate into better deals for consumers. We will soon approach the one-year mark since companies were ordered to lower their rates for homeowners insurance.

This is the logical point at which TDI would look back and measure the impact, as well as assess the competitive levels of the market going forward. If the market does not show signs of stronger competition, Insurance Commissioner Jose Montemayor will take whatever additional action is necessary.