State Farm discontinuing 72,000 home policies in California in latest blow to state insurance market

[PatMiles]

https://www.breitbart.com/news/state-farm-discontinuing-72000-home-policies-in-california-in-latest-blow-to-state-insurance-market/

Insurance giant State Farm says it will discontinue coverage for 72,000 houses and apartments in California starting this summer
State Farm discontinuing 72,000 home policies in California in latest blow to state insurance marketThe Associated PressSACRAMENTO, Calif.
SACRAMENTO, Calif. (AP) — State Farm will discontinue coverage for 72,000 houses and apartments in California starting this summer, the insurance giant said this week, nine months after announcing it would not issue new home policies in the state
The Illinois-based company, California’s largest insurer, cited soaring costs, the increasing risk of catastrophes like wildfires and outdated regulations as reasons it won’t renew the policies on 30,000 houses and 42,000 apartments, the Bay Area News Group reported Thursday.
“This decision was not made lightly and only after careful analysis of State Farm General’s financial health, which continues to be impacted by inflation, catastrophe exposure, reinsurance costs, and the limitations of working within decades-old insurance regulations,” the company said in a statement Wednesday.
“State Farm General takes seriously our responsibility to maintain adequate claims-paying capacity for our customers and to comply with applicable financial solvency laws,” it continued. “It is necessary to take these actions now.”
The move comes as California’s elected insurance commissioner undertakes a yearlong overhaul of home insurance regulations aimed at calming the state’s imploding market by giving insurers more latitude to raise premiums while extracting commitments from them to extend coverage in fire-risk areas, the news group said.
The California Department of Insurance said State Farm will have to answer question from regulators about its decision to discontinue coverage.
“One of our roles as the insurance regulator is to hold insurance companies accountable for their words and deeds,” Deputy Insurance Commissioner Michael Soller said. “We need to be confident in State Farm’s strategy moving forward to live up to its obligations to its California customers.”
It was unclear whether the department would launch an investigation.
Last June, State Farm said it would stop accepting applications for all business and personal lines of property and casualty insurance, citing inflation, a challenging reinsurance market and “rapidly growing catastrophe exposure.”
The company said the newly announced cancellations account for just over 2% of its California policies. It did not say where they are located or what criteria it used to determine that they would not be renewed.

 

[10ring'r]

https://www.breitbart.com/news/state-farm-discontinuing-72000-home-policies-in-california-in-latest-blow-to-state-insurance-market/

Insurance giant State Farm says it will discontinue coverage for 72,000 houses and apartments in California starting this summer
State Farm discontinuing 72,000 home policies in California in latest blow to state insurance marketThe Associated PressSACRAMENTO, Calif.
SACRAMENTO, Calif. (AP) — State Farm will discontinue coverage for 72,000 houses and apartments in California starting this summer, the insurance giant said this week, nine months after announcing it would not issue new home policies in the state
The Illinois-based company, California’s largest insurer, cited soaring costs, the increasing risk of catastrophes like wildfires and outdated regulations as reasons it won’t renew the policies on 30,000 houses and 42,000 apartments, the Bay Area News Group reported Thursday.
“This decision was not made lightly and only after careful analysis of State Farm General’s financial health, which continues to be impacted by inflation, catastrophe exposure, reinsurance costs, and the limitations of working within decades-old insurance regulations,” the company said in a statement Wednesday.
“State Farm General takes seriously our responsibility to maintain adequate claims-paying capacity for our customers and to comply with applicable financial solvency laws,” it continued. “It is necessary to take these actions now.”
The move comes as California’s elected insurance commissioner undertakes a yearlong overhaul of home insurance regulations aimed at calming the state’s imploding market by giving insurers more latitude to raise premiums while extracting commitments from them to extend coverage in fire-risk areas, the news group said.
The California Department of Insurance said State Farm will have to answer question from regulators about its decision to discontinue coverage.
“One of our roles as the insurance regulator is to hold insurance companies accountable for their words and deeds,” Deputy Insurance Commissioner Michael Soller said. “We need to be confident in State Farm’s strategy moving forward to live up to its obligations to its California customers.”
It was unclear whether the department would launch an investigation.
Last June, State Farm said it would stop accepting applications for all business and personal lines of property and casualty insurance, citing inflation, a challenging reinsurance market and “rapidly growing catastrophe exposure.”
The company said the newly announced cancellations account for just over 2% of its California policies. It did not say where they are located or what criteria it used to determine that they would not be renewed.

But, they won't lose one dime of their profit margin, due to the fact, rates will increase across the rest of the nation's policy holders. Just how it works. My F'n homeowner's policy (home and two vehicles) just went up again, and we have had no claims in the last 5 years since we've had them. All started with the Mafia. It was called "Paid Protection".
Mac

 

[gunsnjeeps]

Too bad for State Farm, after 35 years here in Va we are moving and State Farm won't write a new policy within one mile of water. Doesn't matter that they don't cover floods or underwrite the flood insurance we will have. Their loss

PS: have friend in Chesapeake, their parents were dropped by State Farm because they got 2 horses on a three acre property. State Farm doesn't insure farms and now that they have livestock it is a "farm".

 

[missed]

Like a shitty neighbor state farm is not there

 

[Shifty_One]

Pekin just dumped us since we live in such a dangerous state....AZ....

 

[7.62willdo]

How long until California rolls out a state insurance policy………

 

[Docsherm]

All companies should leave that shithole......

 

[Steel+Killer]

The problem with California and the dumb fucks that live there is they keep telling themselves the reason for all these fires every summer is because of "climate change / global warming" They won't for one fucking second consider their environmental policies over the last 20-30yrs is what's fucking them. I take that back the politicians know exactly what they are doing its the useful idiots that keep pushing and going along with this shit. Keep voting for the same shit you fucking Calitards!

 

[Ronws]

The problem with California and the dumb fucks that live there is they keep telling themselves the reason for all these fires every summer is because of "climate change / global warming" They won't for one fucking second consider their environmental policies over the last 20-30yrs is what's fucking them. I take that back the politicians know exactly what they are doing its the useful idiots that keep pushing and going along with this shit. Keep voting for the same shit you fucking Calitards!

I was born in California. We moved out of there in 1974 and I am glad we did.

 

[Baron23]

All companies should leave that shithole......

Beat me to it.

 

[Franko]

California has always kept P&C insurers on a tight leash as far as rate increases go. The problem is that extreme loss events are becoming more common and the insurers are at the point that the losses are unsustainable and insurers are abandoning CA. The real fun part is that the FAIR plan which is the insurer of last resort for CA draws from the pockets of regular insurance companies. So if we get a really big loss event every policyholder in CA is going to get a nice note from their insurer telling them that they now owe thousands of dollars to make up for losses of the FAIR plan (subsidizing morons that build and buy homes in really shitty spots).

 

[jmp1]

The problem with California and the dumb fucks that live there is they keep telling themselves the reason for all these fires every summer is because of "climate change / global warming" They won't for one fucking second consider their environmental policies over the last 20-30yrs is what's fucking them. I take that back the politicians know exactly what they are doing its the useful idiots that keep pushing and going along with this shit. Keep voting for the same shit you fucking Calitards!

As one of the "dumbfucks" that live here....we didn't vote for this shit. We voted for recalls...we voted these cunts out... but just like the rest of the "cuntry"....it's rigged.
It's easy to label this state as libtards....cuz it is......but there is more freedom loving redneck mofos here than you can imagine.
The steal is real.. ..and when enough people are sick of the faggots trannies and libs...there will be a reconing........I hope

 

[n2ishun]

The problem with California and the dumb fucks that live there is they keep telling themselves the reason for all these fires every summer is because of "climate change / global warming" They won't for one fucking second consider their environmental policies over the last 20-30yrs is what's fucking them. I take that back the politicians know exactly what they are doing its the useful idiots that keep pushing and going along with this shit. Keep voting for the same shit you fucking Calitards!

The annual fires have been going on as long as I've been alive....and that's a few years, more every year

The thing is, they get heavy rains in the spring....you know, flooding, mudslides, that sorta shit.
Grass and trees grow (duh).
The summers are hot and dry.
Grass and trees dry out (duh).
Natural phenomenon called the Santa Ana winds occur in the fall due to the SoCal "Basin Effect" (SoCal is geographically shaped like a toilet bowl, hence the basin).
Those winds blow directly off the surrounding desert and it's usually near 100* with humidity at about 5%.....the winds are also quite strong, 50+mph.
A few days of the winds and there is going to be a spark.....like the classic electricity line getting blown down.

It happens every fucking year.....EVERY YEAR.
Californians still act shocked......EVERY YEAR.

They don't even recognize that they are living in a toilet bowl by natures own hand.
You'd think one of the millions out there would figure that shit out.
But.....nope.

 

[ColbyLang]

Cali just catching up to the shit show that is Louisiana homeowners insurance. State Farm actually wrote my new policy. 1/3 the price of last year’s company. Full replacement value.

 

[NoDopes]

I got an offer to match my rate from 3 years ago, 1/3 of all other current offers..
But, they then mentioned it had $35K deductible instead of the $7K deductible others are offering.
What's the fucking point?

 

[DarnYankeeUSMC]

I got an offer to match my rate from 3 years ago, 1/3 of all other current offers..
But, they then mentioned it had $35K deductible instead of the $7K deductible others are offering.
What's the fucking point?

Trying to figure out how 30% inflation over the last three years figures into these numbers. The pending bubble burst of the housing market is the big fear. If the bubble pops and a 750K home drops in value to 500K with a 35K deductible and you are 10 years into a 30 yr mortgage you are screwed.

 

[EddieNFL]

But it's such a beautiful state...

 

[Docsherm]

But it's such a beautiful state...

Especially if you enjoy homeless people and everywhere......

 

[EddieNFL]

Especially if you enjoy homeless people and everywhere......

I say s small price to pay for the privilege of living in paradise. The subjects, I mean citizens should be grateful.

 

[missed]

We left in 2005 and don't miss 90% of it. During one of the big fires it was heading towards us and about 8 other homes. I jumped on the dozer with the big offset plow and plowed a 60' swath on the national forest side. This stupid ass bitch from the forestry service wanted me arrested for doing it. When the fire crews showed up back there they were confused as the fire break was already cut. The chief of that crew took care of the little forest gestapo for me. What do people expect when they won't manage the vegetation, build houses in shitty high risk areas.

 

[VVhoisJohnGalt]

But, they won't lose one dime of their profit margin, due to the fact, rates will increase across the rest of the nation's policy holders. Just how it works. My F'n homeowner's policy (home and two vehicles) just went up again, and we have had no claims in the last 5 years since we've had them. All started with the Mafia. It was called "Paid Protection".
Mac

State Farm is a mutual insurance company…they don’t have profit.

I’ve got State Farm and appreciate them getting out of California. Will help keep my rates down not subsidizing the California crazy regulations/poor decision with my money.

 

[vh20]

State Farm doesn't insure farms and now that they have livestock it is a "farm".

Maybe it's time for them to change their name...

 

[Slash0311]

But look at what happened in Maui. I believe many that lost home in that fire had no insurance and now the .gov are bailing them out and paying millions to house them.

Sheeple will never vote Santa Clause out of office.

Pinko Commie was a derogatory term when I was growing up. Now some dipshit libs wear it like a badge of honor.

Im very sad for what our country has become.

 

[fpgt72]

There is another thing I think some are forgetting. In places like San Fran and LA businesses are running away as fast as they can. I read a very swanky hotel just said, we are done and closed the doors, Bank you can have it back, it's all yours. We have seen this same thing in every blue shit hole all over the country.

Why are they leaving, bunch of reasons, but the point is they are leaving. Do you think that structure still needs to be insured. You bet it does. Do you think the odds are better the building being taken care of if it is occupied or left open for the "migrents".

State Farm sees the the future all too clear. I would not be shocked to see this hitting other cities. Would you want to insure a building in some blue craphole knowing the next "summer of love" is right around the corner.

I don't fault them one single bit. I think without paying out all that crap to CA our rates might go down, not up.

 

[IronSkillet]

There is another thing I think some are forgetting. In places like San Fran and LA businesses are running away as fast as they can. I read a very swanky hotel just said, we are done and closed the doors, Bank you can have it back, it's all yours. We have seen this same thing in every blue shit hole all over the country.

Why are they leaving, bunch of reasons, but the point is they are leaving. Do you think that structure still needs to be insured. You bet it does. Do you think the odds are better the building being taken care of if it is occupied or left open for the "migrents".

State Farm sees the the future all too clear. I would not be shocked to see this hitting other cities. Would you want to insure a building in some blue craphole knowing the next "summer of love" is right around the corner.

I don't fault them one single bit. I think without paying out all that crap to CA our rates might go down, not up.

I have been with SF since 2005, in 4 different states. I pulled my auto policies last year and planned on moving my homeowners this month, unfortunately I was misled by the insurance company that was getting my business and ended up staying with SF homeowners for another year. Ever since they started this “Jake advertising campaign“ the company continues to decline. Living in Florida property insurance is challenging, shopping again and hopefully prepared by next renewal period.

 

[EddieNFL]

I have been with SF since 2005, in 4 different states. I pulled my auto policies last year and planned on moving my homeowners this month, unfortunately I was misled by the insurance company that was getting my business and ended up staying with SF homeowners for another year. Ever since they started this “Jake advertising campaign“ the company continues to decline. Living in Florida property insurance is challenging, shopping again and hopefully prepared by next renewal period.

My son and DIL work for SF. All their insurance is through other companies.

Had SF for decades. I’m a slow learner.

 

[TheHorta]

Too bad for State Farm, after 35 years here in Va we are moving and State Farm won't write a new policy within one mile of water. Doesn't matter that they don't cover floods or underwrite the flood insurance we will have. Their loss

PS: have friend in Chesapeake, their parents were dropped by State Farm because they got 2 horses on a three acre property. State Farm doesn't insure farms and now that they have livestock it is a "farm".

I have a farm. They’ve insured me for 17 years now.

Not saying I like them. Juss sayin.

 

[Grim's Reapers]

They did the same to us in Florida with Hurricane Insurance. Cancelled everyone. They're still here with regular homeowner's insurance, but no hurricane coverage.

 

[Arc Light]

But it's such a beautiful state..

Don't forget the "perfect" weather year round!

Makes the insane taxes, cost of living, rampant crime, homeless people, and millions of illegals all worth it.

 

[NoDopes]

Don't forget the "perfect" weather year round!

Makes the insane taxes, cost of living, rampant crime, homeless people, and millions of illegals all worth it.

and as long as you don't mind wearing these whenever you go out on public sidewalks.

 

[fpgt72]

I have been with SF since 2005, in 4 different states. I pulled my auto policies last year and planned on moving my homeowners this month, unfortunately I was misled by the insurance company that was getting my business and ended up staying with SF homeowners for another year. Ever since they started this “Jake advertising campaign“ the company continues to decline. Living in Florida property insurance is challenging, shopping again and hopefully prepared by next renewal period.

I also have them, and I have had no issues. They replaced my roof after one hail storm. I think that was the only house claim I have had. Hit two deer, one in the car, one on the bike. Same deal no drama.

I wanted to insure my 67 Triumph GT6, so classic car insurance. They wanted to come out and see it, make sure it was stored inside and they cover it, cheaper then the classic specific insurance companies. When I was racing I wanted the two rig and race car covered. The tow rig was covered for 2 mil in damage I could do, figured I could really break some stuff with that big thing. That was a little expensive. The race car was again nothing like $25 per year. It covered the car everywhere up to the false grid. So If I was at a race in Topeka and a tornado came and ate the car it was covered for agreed value.

I have had no issues with them, but I think it has a great deal to do with the agent.

 

[kthomas]

Pekin just dumped us since we live in such a dangerous state....AZ....

I just had the same thing happen.

Pekin wasn't great to deal with anyways, so I'm not to bummed out about it.

 

[Jgunner]

Dont remember who i had for ins in az, but just got dumped as well.

 

[kthomas]

Dont remember who i had for ins in az, but just got dumped as well.

I just went with Openly.

The policy is good, but have never had to use it, so unsure how they are to deal with.

 

[Jgunner]

I just went with Openly.

The policy is good, but have never had to use it, so unsure how they are to deal with.

Never heard of them. Ill take a look.

 

[gunsnjeeps]

I have a farm. They’ve insured me for 17 years now.

Not saying I like them. Juss sayin.

Might be something else going on that wasn't relayed in the story.

My new home will be protected from Mayhem. Flood insurance sucks.

 

[Californio]

I just went with Openly.

The policy is good, but have never had to use it, so unsure how they are to deal with.

Openly is good so far in the Arizona Mountains, raised me last year but most of my town got cancelled by SF and AS.

 

[gunsnjeeps]

Anyone ever use Orchid? Rates are low but I've never heard of them.