Mercury Insurance is looking to raise rates on homeowners and renters insurance policies in California. The company has plans to raise rates by an average of 8.8% for some 300,000 consumers in the state. If state regulators approve the proposal, the company will be generating an additional $19 million per year in profits. Consumer Watchdog, a non-profit organization concerned with fairness for insurance consumers, claims that the proposal is unreasonable because the insurer is already awash with profit. According to Consumer Watchdog, the company paid less than 50 cents on…
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Consumer Watchdog chastises California’s Mercury Insurance for supposed illegal practices
Mercury is looking to raise its auto insurance rates by $89 million in California, a move that consumer advocates are calling “illegal.” Consumer Watchdog, a group concerned with making the California insurance industry more consumer friendly, claims that the insurer is looking to pass a new law that would allow it to raise rates for good drivers that have, simply, not driven for a period of time for any reason. Mercury Chairman George Joseph claims that the legislation the company is backing would save policyholders money, but Consumer Watchdog calls such…
Read MoreCalifornia auto insurance law is being challenged by Mercury General Corp
Mercury General Corp., one of California’s largest auto insurance providers, has taken a bold new step in confronting one of California’s most controversial auto insurance laws. Proposition 103, as it is known, was first passed in 1989, much to the chagrin of many insurance companies offering automobile policies. The law brought many changes to the industry, among which were new regulations regarding rates and limiting the power of insurers to deny claims. For the past decade, Mercury General has been campaigning to change the law. As California’s Legislative session nears…
Read MoreMercury experiences growth in homeowner business leading to new hiring
Mercury Insurance has announced that as a result of a significantly increasing customer base, it will be hiring 63 new employees for full-time property claims in its New York, New Jersey, Texas, and California offices. Since the start of 2011, the homeowners business at Mercury has jumped by over 10 percent. According to the human resources director at Mercury, Clarisa Eng, the company is doing their part to put people in the United States back to work. She explained that the new hires will be assisting the company to “provide…
Read MoreMercury Insurance shows their approval for newly proposed auto discount in California
Mercury General Corp. has just announced its support of an auto insurance initiative comparable to last year’s Proposition 17, which was turned down by voters in June 2010. Supporters of this initiative are thrilled with Mercury’s backing, and are hoping that this second effort will make the difference. Insurance trade group, American Agents Alliance’s executive director, Mike D’Arelli, submitted the proposed initiative’s summary to the California attorney general’s office; taking the first step toward a vote on the initiative. Mercury had previously been a supporter of Proposition 17, having spent…
Read MoreHomeowners insurance getting harder to find in Florida
Mercury General Corp. has decided that it will be pulling out of the Florida homeowners insurance market. The announcement was made on Monday and the move comes as reports of a $19 million loss in that particular market in the fourth quarter. The insurer is already making preparations to inform some 8,000 policyholders that their policies will no longer be renewed. Florida law mandates that notices be sent 180 days in advance and the insurer will begin sending them in March. Mercury General blames their fourth quarter losses on the…
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