Insurance rates for 2002 have continued on a steady climb from the previous year despite the devastation and fear that resulted from the Sept. 11 attacks.

Donald Hollinger, a Nationwide Insurance agent, said insurance rates have increased over the last year, but the marginal growth is simply a normal market progression.

"As a rule, (the rates) have gone up as opposed to down," he said. "Rates are subject to market influences . . . and over the last few years, the costs of claims have certainly gone upwards."

Michael Karstetter is an independent insurance agent who also sells Nationwide insurance. He agreed with Hollinger's assessment.

"I haven't seen any change in commercial rates," he said. "Not all companies are going to be affected by what happened on Sept. 11."

The economic shockwaves from the tragedy have yet to influence rates for businesses and homeowners in State College, Karstetter said.

"It wasn't a great emergency for us here as a result of what happened out there," Karstetter said. "We aren't even addressing that as an agency."

Hollinger said the abundance of smaller theme shops and businesses in State College is a beneficial factor for the town.

"The insurance costs should remain stable for low-risk businesses like shoe shine shops and clothing stores," he said.

But Hollinger added that he is unsure whether the attacks will severely impact the insurance field in the near future.

"Everything has a ripple effect," he said. "But, I see things calming down."

Large corporate insurance companies who primarily handle "high-risk" claims such as skyscrapers would most likely be the largest potential victims of Sept. 11, Hollinger said.

He also said he expected those firms to exercise added caution when deciding whether to handle future high-risk ventures.

"A large building in New York City is going to be less desirable than a building in State College," he said. "Higher risk businesses and buildings will see a definite increase (in rates)."

In the case of the World Trade Center, the corporation that provided insurance for the collapsed buildings has most likely yet to see reimbursement from reinsurance firms, Karstetter said.

"Whoever owns those buildings probably hasn't gotten their money yet," Karstetter said.

Though there is a newfound concern for safety since the attacks, insurance firms have yet to experience mad scrambles by companies and homeowners who are seeking protection claims against "catastrophes," Hollinger said.

"Over the last 10 years, we've seen a dramatic increase in the frequency of claims being filed," Hollinger said. "Catastrophes--such as hurricanes--have been causing more serious damage."

Hollinger explained that catastrophes have a direct bearing on the "cost and availability" of insurance claims.

"The more people that file for a claim that we know we'll be paying off in three years, the less likely we are to provide availability for those claims," he said.