California Won't Let Homeowners Insurance Companies Raise Rates, so They're Leaving the State Instead

https://www.yahoo.com/news/california-wont-let-homeowners-insurance-113015400.html ^ | Fri, March 29, 2024 | Steven Greenhut

[cuz1961]

... Reading insurance trade magazines isn't everyone's idea of a great time, but every Californian should pay attention to the latest news in that arcane world. "State Farm to pull out of 72,000 California insurance policies," blared a Reinsurance News headline. State Farm provides nearly 21 percent of state homeowner policies, so this is big news. Last year, it stopped writing new homeowner policies. Now it's "non-renewing" existing ones and getting out of apartment policies entirely....

[VanShuyten]

I can’t square this up either. From the article:

“ State Farm to pull out of 72,000 California insurance policies,” blared a Reinsurance News headline. State Farm provides nearly 21 percent of state homeowner policies, so this is big news. Last year, it stopped writing new homeowner policies. Now it’s “non-renewing” existing ones and getting out of apartment policies entirely.”

[Mean Daddy]

Years ago, there was an idea floated that each car owner, paid insurance only for their car. Want to drive a $100,000 EV, get in a wreck & your policy covers your losses, injuries etc. and if the other driver doesn’t have insurance, they’re SOL.

Today, someone owns a $100k EV, gets a scratch and totals it, their experience gets co-mingled with your $25k car. This way, cost is based on car type, claim history etc. and your underwriting these costs.

[bobbo666]

CaCaLand is also like many other states in rejecting insurance coverage from companies outside of California. If they cannot regulate you, they don’t want your competition.
I could easily buy insurance from independent broker. But, not allowed. So, only big companies that can afford the asinine CaCaLand regulations make an offer. THAT IS WHY RATES ARE SO HIGH!!!

CaCaLand requires instate insurers to offer insurance to homeowners who are irresponsible. Kinda like requiring car insurance for those with DUI’s — idiocy.

[jimtorr]

I’m a little worried about this hurricane season as they predict a doozie.

They have done that every year since 2002 - 2004, when there was a series of bad hurricane seasons. None of the annual disaster forecasts have happened yet.

Yes, there have been a few bad hurricanes, but not the 4 or more storms they always predict.

[Newtoidaho]

SF has about 21% of the homeowners market in californistan. Estimate about 20 million “homes” in californistan.

So, probably about 4 million policies.

[Ol' Dan Tucker]

I can’t get an answer to an easy statistical question from the net: “How many homes does State Farm Insurance insure in California?”

Fromm the excerpt above:

State Farm provides nearly 21 percent of state homeowner policies...

[SaxxonWoods]

Thanks!

[SaxxonWoods]

Thanks!

[SaxxonWoods]

Sounds like about 21 million policies, so they are big in the state.

[napscoordinator]

I’m hopeful that’s true.

[USS Alaska]

I can’t get an answer to an easy statistical question from the net: “How many homes does State Farm Insurance insure in California?”

72,000...It's what is in the article, but maybe that's too low?

[ridesthemiles]

Before Covid—a 4 X 8 sheet of plywood—$6.

Looked at LOWE’s a month ago-—LOWEST price I saw was $22 a sheet & it was chip board on one side.

[RainMan]

About to say California is the new Florida. Except for all the commies of course. Florida is actually getting insurance companies back now, thankfully.

[napscoordinator]

I’m glad. Although now I hear everyone in Florida is going to be required to get flood insurance in 2027 no matter if needed. Just great. Another thousand bucks a year.

[gitmo]

I grew up in GITMO. Every fall we were hit by multiple hurricanes. One hurricane looped around and hit us three times. The worst part was there was nowhere to go. We simply hunkered down and waited them out.

We had a big push broom we used to push the water out the doors.

[napscoordinator]

Holy cow. We did have a hurricane hit twice. Came threw and looped around back. I think that was 2005.

[MinorityRepublican]

One of California's biggest problems (and there are a lot of them) is the state constitution allows changes to its constitution with only 51 percent of a referendum vote. Constitutions should be difficult to change

They need to change it to 66%.

[MinorityRepublican]

I think for 10 years, there were no major hurricanes to hit Florida (ignoring tropical storms/cat 1 hurricanes)

[Reeses]

California, and liberals in general, have a knee jerk response to every problem: when people complain about prices, just pass a law that won’t allow the sellers to raise prices. Problem solved.

This is Newsom's moment to shine by starting NewsomCare government homeowner insurance. When a mob burns down someone's house over wrongthink, the state will rebuild their house for FREE! It will take 10 years to get the project authorized, and another 25 for the diverse unionized workers to build a shoddy replacement, but the homeowner can make bank selling weed and donuts to the half on break time, and the other half standing up holding shovels.