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.
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.