Northwest suburban-based Allstate is hiking it’s rates for Illinois homeowners. Allstate has nearly half a million home-owner policy-holders in Illinois. They can expect hikes between two and a half percent and nine percent.

Spokeswoman Shaundra Turner said the climbing costs of paying claims are to blame. “Factors such as the number of claims, the frequency of claims and weather over the past several years all result in these increases in cost,” she said.

Turner said severe Midwestern storms mean higher rates for Minnesota and Wisconsin customers, too. This is the third summer in a row the insurance giant has raised homeowner rates in the state.

To reduce the hit to customer pocketbooks, the company is offering discounted rates for those who bundle various Allstate insurances, pay their premiums in full or have premiums automatically withdrawn from their bank accounts.