Daily Property & Casualty Insurance News

California Edition

California Headlines

Workers’ Compensation
Published: Early 2026
California’s workers’ comp sector shows stress fractures as state approves 9% rate increase

The California insurance commissioner approved a 9% increase in workers’ compensation rates, signaling rising claims pressures amid 12 years of favorable combined ratios nationally. This adjustment indicates insurer profits are being eroded by higher claims costs in the state.[1]

Home Insurance
Published: January 1, 2026
New California laws effective 2026 enhance property insurance protections amid wildfires

New laws require insurers to pay 60% of contents coverage up to $350,000 for disaster losses without itemization, focusing on wildfire safety and consumer protections. These measures aim to boost transparency and stability as climate-driven disasters intensify insurance challenges.[2]

Wildfire Claims
Published: February 3, 2026
Lawmakers demand insurers justify strict claims policies for 2025 California wildfire victims

California lawmakers, led by Sen. Schiff and Rep. Chu, pressed major insurers like State Farm to explain itemization and adjuster practices delaying payouts for January 2025 fire victims. A new law raises advance personal property payments to 60% up to $350,000 without receipts in declared disasters.[3]

Home Insurance
Published: Late 2025
Farmers Insurance to expand California home policies in 2026 under Sustainable Insurance Strategy

Farmers Insurance plans to lift its 9,500 new policy cap monthly and expand to 300,000 consumers in distressed areas starting early 2026, crediting Commissioner Lara’s strategy. This follows withdrawn 2026 ballot measures amid ongoing reforms to boost underwriting in catastrophe-prone California.[4]

Catastrophe / Wildfires
Published: Late 2025
2025 Los Angeles wildfires mark largest U.S. insured loss at $40B, impacting California P&C insurers

The 2025 Los Angeles wildfires caused $40 billion in insured losses, the biggest wildfire event in U.S. history, hitting regional insurers hard without triggering most reinsurance. P&C carriers expect stable 2026 results amid softening rates, increased competition, and normalized catastrophe activity.[5]