State Farm Mutual Automobile Insurance Co. is lowering its rates for Hawaii motor vehicles by an average of 5.4 percent, effective Monday.

Spokeswoman Carolyn Fujioka said rates are determined by claim costs. State Farm hasn't had to pay as much as in the past, so the company is able to lower its rates.

The rate decrease represents annual savings of $5.7 million to State Farm's Hawaii customers.

The company said premiums for personal injury protection coverage are decreasing the most and the cost of collision coverage should go down for most customers. Liability and comprehensive coverages will vary for customers.

Overall premiums changes will vary for individual motorists depending on the type of coverage they carry, the kind of car they insure, how often they drive and other factors.

"Our rates are going down, which is nice. Everything else seems to be going up," Fujioka said.

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