Today, we will tell you about California regulators. California regulators have approved rate hikes for a plethora of customers. Let’s get started:
California regulators have approved rate hikes for a plethora of customers
State regulators have granted two insurance companies approval to increase rates for thousands of customers throughout California.
In the last week of March homeowners or condo owners, as well as dwelling rental policyholders who are insured with Mercury General, the fifth-largest insurer of homes within the State, are expected to experience rates rise by 12%, on average.
Around 579,300 customers are affected.
In addition, those who have insurance on their homes through Safeco which is an affiliate of the fourth-largest insurance company, Liberty Mutual, will see their rates increase by approximately 7.2 cents in May. Around 86,700 customers will be affected.
The Liberty Mutual rate hike will not affect condo owners or renters, since the company has announced plans to leave the renters’ and condo insurance markets by 2026, as it looks for “a sustainable business path forward in California.”
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Customers of either insurer may anticipate the rate increase to impact their rates when they renew their insurance in the months following the effective date of the rate.
According to the filings filed to the California Department of Insurance, the two companies also requested rate increases in June, just months before the devastating and deadly wildfires that devastated Southern California.
In the Department of Insurance Insurance, insurers, including FAIR Plan, which is part of the FAIR Plan, had paid $6.9 billion in claims for wildfires at the time of February. 5.
The FAIR Plan is California’s plan which provides homeowners with insurance who aren’t able to get private insurance.
Conclusion
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