Two of California's largest home insurance providers are freezing sales of their home policies, triggering calls of extortion by a local watchdog group.
The state's largest home insurance provider, State Farm, had already announced the same decision last month. Both companies are blaming climate change and inflation, saying they can't make money here.
Rosenfield is the author of California's Proposition 103, which has been regulating the state's insurance companies since the proposition was passed 35 years ago. He said Prop 103 allows insurance companies to charge a reasonable rate and make a reasonable profit. Historically, the Department of Insurance has seen companies pause and then re-start writing policies as conditions change. More than 115 insurance companies currently offer California homeowners' insurance. The Department of Insurance is driven to ensure consumers have the most options to meet their insurance needs.
"If he does not enforce the law, this will become a tsunami and it will have a devastating impact on California consumers and upon the economy," Rosefield said.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Consumer group accuses Allstate, State Farm of extortion after insurers halt new home policies in CATwo of California's largest home insurance providers are freezing sales of their home policies, triggering calls of extortion by a local watchdog group.
Read more »
Allstate stops issuing property insurance policies in CaliforniaCosts and wildfires have reportedly caused Allstate to stop offering new property insurance to Californians after State Farm made a similar decision. MORE ⬇️
Read more »
Allstate Stops Selling New Home-Insurance Policies in California, Citing Wildfire RisksAllstate has stopped offering new home-insurance policies in California, saying it has become too expensive to insure new homes in the wildfire-prone state
Read more »
Allstate stops offering new home insurance in California due to wildfires, higher costs for home repairAllstate announced its no longer offering new home insurance policies in California due to high building costs and environmental concerns like wildfires.
Read more »
Allstate Quietly Paused New Home Insurance Policies in California Months AgoThis news comes after State Farm, another major insurer, announced leaving the state due to more wildfires and rising costs.
Read more »
Allstate, State Farm halt new home insurance policies in CaliforniaAllstate and State Farm both announced in the last week that they would be halting insurance policies citing inflation and natural disasters in the state.
Read more »