State Farm No Longer Accepting Applications for Homeowners Insurance in California

[Elderberry]

Legal Insurrection by  Leslie Eastman Wednesday May 31, 2023

State Farm blames wildfires and inflation. The California Department of Insurance is blaming…climate change.

As another glorious day dawns in California, another business entity gives up on the state.

For years, California has failed to develop and maintain its water infrastructure. It also allowed eco-activists to impose policies prohibiting brush-clearing. Decisions like these have consequences.

    One of the largest insurance agencies in the country will no longer accept applications for home and business insurance in California due to wildfire risks and the cost of rebuilding.

    State Farm has ceased new applications, including all business and personal lines property and casualty insurance, starting Saturday, the company announced in a press release.

    Existing customers will not be affected, and the company will continue to offer auto insurance in the state, according to the release.

Construction costs in California have also escalated. This is a contributing factor to State Farm’s decision.

    “State Farm General Insurance Company made this decision due to historic increases in construction costs outpacing inflation, rapidly growing catastrophe exposure, and a challenging reinsurance market,” the insurance giant said in a statement on Friday.

    “It’s necessary to take these actions now to improve the company’s financial strength,” the company added.

    According to the Insurance Information Institute, State Farm was the leading company offering home insurance in California.

More: https://legalinsurrection.com/2023/05/state-farm-no-longer-accepting-applications-for-homeowners-insurance-in-california/

[libertybele]

For years people have paid their insurance premiums and some have never made a claim.  I find it frustrating and inexcusable that insurance companies are bailing.  It isn't climate change, it's insurance companies gouging the clients.  Wildfires, hurricanes, tornadoes, dust bowls, floods, etc., are happening. They are cyclical -- insurance companies have gone years without paying out claims  -- so what happened to that pile of $$?  Certainly you would think that they should have invested it. 

Our premiums have gone up every year.  In the 40 years that we've been married, we have made one claim.  One. Which was for Ian. We're not alone with those circumstances.  Yet somehow, insurance companies don't have enough money to cover losses?  Who audits them??  They're bailing without paying out claims.  So where is that $$?

I completely understand if people didn't take out flood insurance and still expect insurance companies to pay, or people who didn't have any insurance expect to be bailed out.  However, those that have paid for years and years deserve to have their claims paid fairly and quickly.

Eight months after Ian and some people haven't seen a penny.  Something is wrong and it isn't climate change!

[mountaineer]

ChairmanOohMowMow
@ooh_mow
NBC News won’t tell you this but I will: BOTH State Farm and Allstate have pulled out of California.

And it ain’t “climate change”.

Governor Sculpting Gel tried to force them to lower premiums.

They were under a mountain of claims from every retailer in the state who is suffering repeated looting.

Homeowners have drug addicts on their doorsteps.

It’s impossible to insure things that the state won’t help protect.

California is ruined.

2:08 PM · Jun 3, 2023

[DB]

California did this all by themselves. They create the conditions that cause massive losses and the insurance companies have no interest in playing that game.

Now California is working on making your home's electricity rate based on your income. I'm not kidding.

[Kamaji]

ChairmanOohMowMow
@ooh_mow
NBC News won’t tell you this but I will: BOTH State Farm and Allstate have pulled out of California.

And it ain’t “climate change”.

Governor Sculpting Gel tried to force them to lower premiums.

They were under a mountain of claims from every retailer in the state who is suffering repeated looting.

Homeowners have drug addicts on their doorsteps.

It’s impossible to insure things that the state won’t help protect.

California is ruined.

2:08 PM · Jun 3, 2023