US EditionCalifornia consumer group sues to block insurers from adding surcharge following LA fires
- Consumer Watchdog filed a lawsuit against the California Department of Insurance and Commissioner Ricardo Lara to block new surcharges on homeowners' insurance bills due to recent wildfire assessments.
- The lawsuit argues that the decision allowing insurance companies to pass-through costs to policyholders was made without public input and violates the Administrative Procedure Act and FAIR Plan statutes.
- State Farm has faced over $7.9 billion in claims from the wildfires and is seeking a significant rate increase, with potentially $740 million in costs for homeowners across California.
- The Consumer Watchdog attorney criticized the decision as unfair, asserting it shifts financial burdens from insurance companies to homeowners and exacerbates the economic challenges faced by policyholders.
16 Articles
16 Articles
California consumer group sues to block insurers from adding surcharge following LA fires
SACRAMENTO, Calif. (AP) — A consumer advocacy group filed a lawsuit this week to block insurers from charging California customers for $500 million in costs associated with the deadly Los Angeles fires. California’s insurance commission in February ordered insurers doing business in California to provide $1 billion to the FAIR Plan, the state’s insurer of last resort, to help it pay out claims related to the LA wildfires. The order allows insure…
LA Daily News
The Press-EnterpriseConsumer group sues California insurance commission to stop $500M overcharge
The advocacy group Consumer Watchdog filed a lawsuit against the California Department of Insurance and its commissioner to stop potentially hundreds of millions of dollars in “surcharges” State Farm wants to charge homeowners in order to cover claims from January’s firestorms in the Los Angeles area. The suit, filed Monday, April 14 in Los Angeles County Superior Court, challenges a plan approved by state Insurance Commissioner Ricardo Lara in …
The Daily Caller
Conservative ReviewGay California Official Fueled Flamboyant Lifestyle With Funds From ‘Shell’ Campaign, Report Finds
Ricardo Lara, California's insurance czar, is under fire after a new investigation revealed he spent campaign funds on vacations amid an insurance crisis.
Consumer group sues insurance commissioner over Fair Plan assessments on state homeowners
Consumer Watchdog sues Insurance Commissioner Ricardo Lara, alleging that rules he issued last year that will allow the California Fair Plan to charge policyholders for losses from the Jan. 7 fires violate state law.
Consumer Watchdog Sues to Stop Hundreds of Millions of Dollars in Unjustified Surcharges from Being Imposed on California Homeowners
LOS ANGELES, April 15, 2025 /PRNewswire/ -- Consumer Watchdog sued the California Department of Insurance and Commissioner Ricardo Lara to protect California homeowners from hundreds of millions in surcharges that could soon appear on their insurance bills. The surcharges result from a decision reached by the Commissioner last summer to allow the insurance companies that comprise and operate the California FAIR Plan, the state's "insurer of last…
CalMatters: State Farm Moves One Step Closer To "Emergency" California Rate Hike
The remains of an Altadena house burned in the Eaton Fire after a rain storm. Jan. 26, 2025. Photo by Jules Hotz for CalMatters By Levi Sumagaysay – CalMatters State Farm could soon win final approval to raise premiums for California homeowners and others on an interim basis, a move meant to help prop up the finances of the state’s biggest provider of property insurance, after a public hearing this week. In early February, State Farm asked Calif…
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