State Farm halts new property insurance policies in California

[ProudVirgin69]

State Farm said Friday, May 26, that it will stop accepting new applications for property and casualty insurance in California, citing rising construction costs and its “rapidly growing catastrophe exposure.”

The policy change for personal and business lines is effective Saturday, May 27, State Farm said. The change does not apply to personal auto insurance or existing home insurance policies in the state.

In a statement, the company said it would work with the California Department of Insurance to restore its market capacity in the state.

“We take seriously our responsibility to manage risk,” the company wrote. “However, it’s necessary to take these actions now to improve the company’s financial strength.”

State Farm holds the largest share of property and casualty insurance policies in the U.S. and controls about 8.3% of California’s market, writing at least $7 billion in premiums, according to 2021 data compiled by the state.

https://www.ocregister.com/2023/05/26/state-farm-says-no-new-property-insurance-clients-in-california/


Gee, I wonder what could be causing this “rapidly growing catastrophe exposure”

[chaos]

Yay democratic policies!!

[Gym Rat]

Go demturd, lose everything...

Dem = Fail

[Thin Lizzy]

https://www.ocregister.com/2023/05/26/state-farm-says-no-new-property-insurance-clients-in-california/


Gee, I wonder what could be causing this “rapidly growing catastrophe exposure”

I’m interested in the contortions of logic used to blame Republicans for the decline of a one party Democrat state.

Is it still Ronald Reagan’s fault?

[IroNat]

People are building homes in areas prone to fire.

Not smart.

[IroNat]

I’m interested in the contortions of logic used to blame Republicans for the decline of a one party Democrat state.

Is it still Ronald Reagan’s fault?

Arnold's fault.

[ProudVirgin69]

I’m interested in the contortions of logic used to blame Republicans for the decline of a one party Democrat state.

Is it still Ronald Reagan’s fault?

You’re projecting.  No political parties were mentioned, nor was any blame assigned.  Maybe next time try reading before responding.

Insurance companies only care about the bottom line, not political affiliations, and they’re finding it unsustainable to insure properties in states susceptible to extreme weather events like California, Florida, and Louisiana.  This was not the case 10-20 years ago.  Florida and Louisiana are also red states, so this is truly a “bipartisan” issue.

The cause of the increasing frequency & severity of these extreme weather events can be debated.  I, and many others, feel it is due to anthropogenic climate change.  You, and others, may disagree.  That’s fine.  What is not up for debate is that the actuaries at these multi-billion insurance companies have determined that it is too risky to insure homes and properties in the aforementioned states.

[Dave D]

You’re projecting.  No political parties were mentioned, nor was any blame assigned.  Maybe next time try reading before responding.

Insurance companies only care about the bottom line, not political affiliations, and they’re finding it unsustainable to insure properties in states susceptible to extreme weather events like California, Florida, and Louisiana.  This was not the case 10-20 years ago.  Florida and Louisiana are also red states, so this is truly a “bipartisan” issue.

The cause of the increasing frequency & severity of these extreme weather events can be debated.  I, and many others, feel it is due to anthropogenic climate change.  You, and others, may disagree.  That’s fine.  What is not up for debate is that the actuaries at these multi-billion insurance companies have determined that it is too risky to insure homes and properties in the aforementioned states.

I agree.

Antifa is the real culprit.

[Thin Lizzy]

You’re projecting.  No political parties were mentioned, nor was any blame assigned.  Maybe next time try reading before responding.

Insurance companies only care about the bottom line, not political affiliations, and they’re finding it unsustainable to insure properties in states susceptible to extreme weather events like California, Florida, and Louisiana.  This was not the case 10-20 years ago.  Florida and Louisiana are also red states, so this is truly a “bipartisan” issue.

The cause of the increasing frequency & severity of these extreme weather events can be debated.  I, and many others, feel it is due to anthropogenic climate change.  You, and others, may disagree.  That’s fine.  What is not up for debate is that the actuaries at these multi-billion insurance companies have determined that it is too risky to insure homes and properties in the aforementioned states.

So, it’s Climate Change to blame and not the Government Policies. Got it.👍

[Thin Lizzy]

People are building homes in areas prone to fire.

Not smart.

Isn’t poor Forrest management an issue there?

[deadz]

Seems like every six months to a year my property insurer folds and leaves Florida. Can't count how many insurers I've had as a homeowner the past nineteen years.

[IroNat]

Isn’t poor Forrest management an issue there?

That too.

But build homes in areas prone to wildfire and you get burned homes.

[IroNat]

Seems like every six months to a year my property insurer folds and leaves Florida. Can't count how many insurers I've had as a homeowner the past nineteen years.

Hurricanes result in big payouts.  Florida has always been in the path of hurricanes.

Years ago not many people lived in Florida.  It's a big swamp and basically at sea level.

Now more and more people live there in the path of hurricanes so big payouts.