I just came to say the same thing!
“I face the task of regulating an insurance market operating under outdated regulations that have not been significantly reformed since the passage of Prop 103 in 1988,” Lara said at the meeting. “This outdated regulatory structure has hindered insurers from actively reflecting the true cost of doing business in California.”
The video with the public adjuster is worth watching.
Copilot gpt summary:
California’s insurance regulators have provisionally approved State Farm’s request to raise homeowners’ insurance premiums by an average of 22%, citing the need to address financial challenges following devastating wildfires in Los Angeles County. This increase is part of an effort to stabilize the company’s finances, which have been strained by over $7 billion in claims from recent fires.
The approval comes with conditions, including a public hearing to justify the rate hike and a requirement for State Farm’s parent company to provide a $500 million capital infusion. Consumer advocacy groups have raised concerns, estimating the hike could cost homeowners an additional $600 annually. The decision reflects broader challenges in California’s insurance market, where wildfire risks have led some insurers to stop issuing new policies.
You can find more details here.
Wait, he KNOWS that the department will not allow insurance premiums that are sufficient to cover all the losses?