Posted on 07/02/2024 5:28:56 AM PDT by dennisw
READ MORE: The insurance on my 2012 Mazda went up 72% to $233 a month!'
A prominent insurance provider has aired an ultimatum to the entire state of California.
The firm, State Farm General, asked the state’s Department of Insurance Thursday to let them raise residential insurance rates for millions of citizens, or see them move out.
The move indicates financial trouble for the insurance giant, which currently covers homes razed by wildfires.
State Farm disclosed it is seeking a 30 percent rate hike for homeowners, a 36 percent increase for condo owners, and a 52 percent increase for renters as a result - a move that would only worsen the state’s already present housing crisis.
'This has the potential to affect millions of California consumers and the integrity of our residential property insurance market,' insurance commissioner Ricardo Lara said in a statement - as the filings make their way through the proper channels.
He added how he was now keen to 'get to the bottom' of the company’s financial situation - and will conduct an extensive review before deciding on the applications as a result.
'State Farm General’s latest rate filings raise serious questions about its financial condition,' he said of the number one insurance firm in the US.
He added how a rate hearing may even necessary, offering his commission an opportunity to hear from the public about the proposed rate changes.
Only then, he said, would officials make a decision on whether to approve the requests - a process that could end up taking months.
As it stands, the department is averaging 180 days per rate review, with some cases taking even longer, a department spokesperson confirmed to the LA Times.
(Excerpt) Read more at dailymail.co.uk ...
READ MORE: The insurance on my 2012 Mazda went up 72% to $233 a month!’
https://www.dailymail.co.uk/yourmoney/consumer/article-12958115/car-insurance-storms-wildfires-inflation.html
The insurance on my 2012 Mazda went up 72% to $233 a month!’ Americans are battling soaring car and home premiums - which insurers blame on storms, wildfires and inflation - what can you do to lower them?
Simon Edwards’s monthly bill from Geico rose from $130 last April to $223 now
Actress Marta Cross is paying more than $4,000 a year home insurance in LA
Some states have capped how much insurers can increase prices - but those companies have simply refused to offer cover as they would lose money
By DANIEL JONES, CONSUMER EDITOR FOR DAILYMAIL.COM
PUBLISHED: 14:51 EDT, 21 January 2024
They say ‘What happens in Vegas stays in Vegas’ - but the eye-watering auto insurance bill city resident Simon Edwards recently received is just one example of the staggering rises in premiums consumers are facing all across the US.
The 2012 Mazda 5 owner was shocked to find his monthly bill from Geico had rocketed up from $130 last April to $223 now – a rise of 72 percent in just eight months.
‘I’ve been in no accidents, no tickets, been with Geico for many years,’ a perplexed Edwards told the Wall Street Journal.
Manwhile, actress Marta Cross is having to pay more than $4,000 a year home insurance in Los Angeles.
For all too many home and car owners, the insurance market is proving to be perhaps the most brutal battlefront in the cost of living crisis.
There are concerns of profiteering from insurers, but they point to two key challenges - more natural disasters and rampant inflation.
All I know is that crime rates are up and all forms of insurance are up up up up up
My policy expires this month...I just learned that my premium is going up 15%. No tickets,no accidents,no claims in about 10 years.
Bring back white Jake.
Houston Texas. $425k coverage. Brick veneer. Last years premium was $2550. Carrier left state. New policy through a decent company =$8,000.
Houston Texas. $425k coverage. Brick veneer. Last years premium was $2550. Carrier left state. New policy through a decent company =$8,000.
Deep State is totally cool with State Farm leaving because Deep State really, really, REALLY doesn’t like competition.
Deep State is about to Obamacare the rest of the private insurance market.
INCOMING!!!!
Disastrous lib policies have to be covered, somehow!
Californians love to lead the nation in loving to pay more for everything. They should jump on this opportunity to pay more for insurance.
Neither State Farm nor the rest of us will be able to vote-with-our-feet our way out of this.
State Farm is doing fine, but California is its own special mess.
There is a reason insurers are leaving California. The costs keep going through the roof because of terrible state and local government policies.
The analyses here seems to be correct. Interestingly, I watched for my homeowners insurance to reflect similar price hikes but it didn’t. I live in Minnesota and insure with USAA which I’ve had since 1979 when I entered the Navy. My home owners insurance for the upcoming year went down by $400 without any changes in coverage.
Because of regulations and mandates it is getting harder and harder for insurance companies to stay profitable. So either rates will continue to skyrocket or insurance will just no longer be available soon.
Another crisis caused by Democrats.
Why do you think it went down?
At some point, a large segment of the population will simply forego auto/property insurance because they do not possess assets that exceed the cost of the insurance itself - or the benefit of the insurance is unlikely to exceed the cost.
Given that it is unlikely that the tens of millions of new “guests” in the country will similarly not have insurance, lets just enjoy the free-for-all on the roads.
My home policy increased 48% this year. I called around. Each wanted proof regarding the age of roof. HVAC.. and more. Please remember an ad that started exactly this way.... “even knowing 95% will not have a homeowners claim” LET That sink in!!!!! Allstate, Dennis Hassert. Can’t find it now. Think, and count the folks you know that ever filed a claim on a home............
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