Daily P&C Insurance News

California’s Department of Insurance has approved rate increases for major auto insurers to address escalating repair and medical costs. The approvals average 8.2% across filings from State Farm, Allstate, and Progressive, effective May 1.

Three major home insurers announced non-renewals for 15,000 policies in wildfire-prone areas of Southern California due to unsustainable losses. State regulators are reviewing the moves while urging mitigation credits for policyholders.

Global reinsurers are reducing capacity for California carriers amid hardening rates following last year’s earthquake activity. Primary insurers face 25% reinsurance cost increases, potentially flowing through to policyholder premiums.

Five California P&C insurers began AI-powered claims pilots promising 40% faster auto and property claim resolutions. The technology integrates telematics data and drone imagery for more accurate loss assessments while maintaining regulatory compliance.

New California legislation requires earthquake insurance policies to include access to the state’s early warning system alerts. Insurers must provide policyholders with app integration by year-end to potentially mitigate claim severity.