Tag: Insurance Transparency

Liberty Mutual to Refund Louisiana Homeowners Over Assessment Overcharges

H. Cutner
Liberty Mutual refund

Why Louisiana Homeowners Deserve Answers If you’re one of the 138,000 Louisiana residents insured by Liberty Mutual, you may soon see a small refund coming your way. For four years, the insurance giant overcharged policyholders for the Louisiana Citizens Property Insurance Corp. assessment. This surcharge is intended to help homeowners who cannot find coverage on the private insurance market due to natural disaster risks, but errors in Liberty Mutual’s calculations left many consumers paying more than they should have. The overcharges, which total about $4 million, might not break the…

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California’s Insurance Dilemma Deepens Amid State Farm Rate Hike Drama

Angela Linders
State Farm Logo on Building

How a Video and a Rate Hike Request Could Reshape California’s Insurance Market State Farm is under fire after a Consumer Watchdog letter to California Insurance Commissioner Ricardo Lara put the spotlight on controversial tactics allegedly used to justify a proposed emergency 22% rate hike. At the heart of the controversy is a video recording of Haden Kirkpatrick, State Farm’s Vice President of Innovation and Venture Capital, whose candid comments stirred public concern and prompted his dismissal from the company. Captured on Camera: A Rare Glimpse Behind Closed Doors The…

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State Farm Wants Higher Premiums, Consumer Watchdog Says ‘Prove It!

Logan B.
State Farm rate increase request

Consumer Watchdog Challenges State Farm’s Emergency Rate Hike Request Consumer advocacy group Consumer Watchdog has raised objections to an emergency interim rate increase requested by State Farm, arguing the insurance giant has not provided sufficient justification for its demands. Calling attention to strong consumer protection laws in California, the organization filed two letters with Insurance Commissioner Ricardo Lara to challenge the proposed rate hikes. These increases, Consumer Watchdog asserts, could unfairly burden individuals already coping with the rising costs of recovery from natural disasters. What State Farm Is Requesting State…

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Judge Sides with USAA in Controversial Class-Action Lawsuit

Nordstrom
USAA in Controversial Class-Action Lawsuit

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…

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California’s Home Insurance Crisis Amid Rising Claims Denials

Logan B.
Home Insurance Crisis and Claims Denial

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,…

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Why California Insurers Are Being Forced Back Into Wildfire Zones

Angela Linders
California Insurers

California Introduces New Rules to Boost Wildfire Coverage in At-Risk Areas California has long struggled with providing adequate home insurance to residents living in wildfire-prone regions. After devastating fires in recent years and increasing climate risks, a new set of regulations aims to stabilize the insurance market and expand coverage to residents in high-risk areas. These landmark rules, set to take effect on January 2, 2025, form part of California Insurance Commissioner Ricardo Lara’s broader Sustainable Insurance Strategy. Background For years, California homeowners in areas prone to wildfires have faced…

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State Farm 2025 California Auto Insurance Rate Hike Affecting Millions

Angela Linders
State Farm 2025 California Auto Insurance Rate

State Farm, California’s largest auto insurer, has received approval to increase its auto insurance rates beginning in January 2025. This marks the second consecutive year of double-digit rate hikes for the company, following a 21% increase implemented earlier this year. The upcoming adjustment, averaging 17.7%, will affect approximately 4 million policyholders across the state. The increase aligns with broader trends in the auto insurance industry, both in California and nationwide, as companies grapple with rising claims, vehicle repair costs, and inflationary pressures. Factors Driving State Farm Auto Insurance Rate Hike…

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