Allstate becomes second major insurance provider to pull out of California -

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Allstate becomes second major insurance provider to pull out of California -
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Yesterday, Allstate became the second major insurance provider to announce it will no longer sell new coverage policies in California. The company cited forest fires and a rise in natural disasters as reasoning to pull out of the state.

SAN DIEGO – In the past month, two major insurance providers have stopped accepting applications for new coverage plans in the state of California.

StateFarm and Allstate both cited a rise in forest first and an increase in construction and labor costs in their reasons for pulling out of the state. President and CEO Brent Wilsey of Wilsey Asset Management joined KUSI’s Hunter Sowards to discuss the issue.

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