Tag: FAIR plan

California Governor Newsom backs property insurance reform measure

Logan B.
Property insurance - California Law - Support

The goal is to ensure that homeowners and business owners will find necessary coverage California Insurance Commissioner Ricardo Lara recently announced that a new draft measure would make it a requirement for property insurance companies using new catastrophe modeling to write more policies in areas at a higher risk of events such as wildfires. Larger insurers must insure properties at a specific minimum level The draft regulation would require that all companies using new catastrophe modeling to write more property insurance policies in distressed areas. That said, larger insurers would…

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State Farm Reverses California Policy Non-Renewals – With a Catch

Live Insurance News
Allstate home insurance growth and decline

State Farm, the largest insurance carrier in California, has announced a significant reversal of its earlier decision to not renew over 70,000 policies in the state, including 30,000 home insurance policies. This change comes after the company initially cited increasing wildfire risks as the primary reason for its decision back in March. However, the company’s renewed commitment comes with a notable caveat that is bound to impact policyholders significantly. State Farm Reversal and The Catch According to a statement from Sevag Sarkissian, State Farm’s California spokesperson, while the company will…

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Governor Newsom Calls for Swift Action on Property Insurance Rate Increases

Julie Campbell
Property insurance Crisis - California Flag - Solve Now

Newsom wants lawmakers to hasten the approval processes for insurers to improve the market California Governor Gavin Newsom has issued a call to lawmakers, urging them to expedite the approval processes for property insurance companies that are seeking to increase their rates. The governor feels the market overhaul is too slow Newsom recently addressed the press in Sacramento to announce the push he is making for legislation to require the California Department of Insurance to set a limit of no longer than 60 days for the completion of rate-filing reviews.…

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California Insurance Commissioner and Farmers CEO: A Groundbreaking Dialogue on the Insurance Crisis

Angela Linders
california insurance crisis a

California continues to struggle with a growing insurance crisis, as homeowners face towering premiums and the daunting task of securing coverage. Amidst this turmoil, insurers have retreated, leaving many Californians in a lurch. But in a recent twist, the path to resolution may hinge on a compromise that allows insurers to adjust rates based on future risk assessments. State Insurance Commissioner Ricardo Lara, spearheading new regulations to mitigate the crisis, likens his relationship with the insurance industry to a “forced marriage” — staying together for the larger family’s sake. This…

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California fire insurance FAIR Plan now has 350,000 policyholders

H. Cutner
Fire insurance - Home Coverage - California insurance

The coverage of last resort is now writing more policies, but not all plan members are satisfied. California’s FAIR Plan, its fire insurance coverage of last resort, is now writing a growing number of policies as homeowners turn to the coverage out of a lack of alternatives. The more policies the FAIR Plan writes, the less satisfied homeowners report being with it. Homeowners have been registering complaints regarding the poor services they are receiving from their fire insurance companies, about the rising costs associated with coverage, and about the threats…

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Commissioner Ricardo requires more commercial property insurance from FAIR

Logan B.
Commercial property insurance - Business property insurance

The California plan has been ordered to include increases to the decades-old business coverage limits. California Commissioner Ricardo Lara has announced that his office has ordered that the FAIR Plan must incorporate his mandated increases to the limits to commercial property insurance. The commissioner made the order to boost the coverage limits to better support Californian businesses. Lara announced that the commercial property insurance changes were meant to support businesses in California. “My order is part of an ongoing commitment to helping businesses in California thrive as our economy recovers…

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California agricultural insurance to see raise in policy limits

H. Cutner
Agricultural insurance - Farm

Commissioner Ricardo Lara has ordered what will be the first coverage limit increase in 25 years. California Insurance Commissioner Ricardo Lara has ordered the first agricultural insurance limit increase in fire-prone areas in a quarter of a century. Lara determined that the order was necessary in order to meet the current wildfire risk and rising cost of repairs. The increase in the agricultural insurance limits is approximately 90 percent higher than the limits in the California Fair Access to Insurance Requirements (FAIR) plan, which is the last-resort program for property…

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