Live Insurance News

Judge Sides with USAA in Controversial Class-Action Lawsuit

January 17, 2025January 17, 2025 Nordstrom

USAA Wins Summary Judgment in Discrimination Lawsuit, Plaintiffs Plan to Appeal – Judge Rules in Favor of USAA A federal judge in California has ruled in favor of USAA in a contentious class-action lawsuit, marking a significant development in a case alleging discrimination against enlisted military personnel and veterans. U.S. District Judge Robert S. Huie granted a summary judgment dismissing the claims, effectively siding with the San Antonio-based insurance provider without proceeding to trial. The lawsuit, initiated by plaintiffs Eileen-Gayle Coleman and Robert Castro, contended that USAA relegated enlisted service…

State Farm Pulls The Plug on Super Bowl Ad

January 17, 2025January 17, 2025 Marc

State Farm Cancels Super Bowl 59 Ad Amid L.A. Wildfires State Farm has made a significant decision to pull its planned Super Bowl 59 ad and postpone a campaign tied to Apple TV+ drama Severance. The move comes as wildfires continue to ravage Los Angeles, prompting the insurer to redirect its resources and focus toward supporting affected communities. The announcement signals a deeper commitment to addressing the immediate needs of customers rather than competing in the high-stakes advertising arena of the year’s biggest sporting event. Super Bowl Ads Take a…

Unpacking Citizens Insurance Rate Increase Delays

January 16, 2025January 15, 2025 H. Cutner

Florida Citizens Property Insurance Rate Hikes Remain Unresolved Amid Policy Shifts Florida’s largest government-backed insurer, Citizens Property Insurance Corporation, is dealing with unfinalized rate hikes for 2025. Initially proposed by the Board of Governors in June 2024, the increases include an average 13.5% rate hike for homeowners’ multi-peril coverage and 14.2% for condominium policies. However, with no formal decision from the Office of Insurance Regulation (OIR) as of January, these adjustments may not take effect until at least May 2025. The delay leaves policyholders in uncertainty. Citizens’ President and CEO,…

Why Every Homebuyer Should Demand Flood History Transparency

January 16, 2025January 15, 2025 H. Cutner

The Hidden Risks of Buying a Flood-Prone Home For millions of Americans, purchasing a home is the single largest financial decision they will ever make. Yet many buyers face an alarming obstacle when it comes to flood risk. More than one-third of U.S. states fail to require any disclosure of a property’s past flood damage or risk during a real estate transaction. This leaves countless buyers unaware they may be stepping into a financial nightmare. Flooding is the most common and costly natural disaster in the U.S., and a home…

California’s Home Insurance Crisis Amid Rising Claims Denials

January 16, 2025January 15, 2025 Logan B.

Growing Denials Leave Homeowners Vulnerable California’s homeowners faced significant challenges in 2023 as leading insurance companies denied nearly half of all claims, far exceeding the national average. A report by Weiss Ratings revealed that some of the state’s top insurers, including Farmers (50%), USAA (48%), and Allstate (46%), topped the list for denied claims. This comes as insurers deal with increasing exposures to climate-related disasters like wildfires, hurricanes, and flooding. While some insurers show alarming claim denial numbers, others demonstrate relatively better performance. Among these are two affiliates of AAA,…

Higher Coverage, Higher Costs? Massachusetts Rolls Out New Auto Insurance Law

January 15, 2025January 15, 2025 Ben Jones

Massachusetts to Raise Minimum Auto Insurance Coverage Limits by July 2025 Massachusetts is set to implement significant changes to its mandatory auto insurance coverage requirements starting July 1, 2025. Governor Maura Healey recently signed legislation increasing the minimum insurance coverage limits, aligning with a growing trend across the United States. These updates aim to improve financial protection for drivers while minimizing the risk of policyholders facing inadequate coverage after an accident. Below, we examine the rationale behind the changes, statistics on how often claims exceed policy limits, and national shifts…

Texas Files Lawsuit Against Allstate Over Alleged Illegal Data Collection Practices

January 15, 2025January 14, 2025 G. Turner

Allegations of Unauthorized Tracking The state of Texas has launched a lawsuit targeting Allstate, one of the nation’s major insurers, accusing the company of illegally collecting and utilizing driver data without consent. This lawsuit, filed by Attorney General Ken Paxton, asserts that Allstate created an extensive “driving behavior database” using data obtained from over 45 million Americans. This database, reportedly developed by Allstate’s data analytics subsidiary, Arity, allegedly relied on tracking technology embedded into mobile applications without users’ knowledge. The complaint further claims that Allstate profited by leveraging this data…