State Farm stops accepting new homeowners insurance applications in California

The company cited inflation and construction costs as reasons for ceasing new homeowner's insurance applications in the state.

[augustrush]

“Like a good neighbor, ” - “State Farm ain’t there!”

[donnafechter]

State Farm did that to Florida after a major hurricane. They don't mind taking your money but when you rarely put up a claim is when you get dropped.

[bayyinahzhaxx]

Believe it or not, these forest fires in Cali, and hurricanes in Florida hike everyone's insurance up.

[tech-bore]

First, PG&E has been held responsible for most of these fires. Given that the governor is in bed and actively protecting this company, federal agencies need to step in for prosecution of BOTH.

Second, I can understand State Farm's decision given that people continue to live further into wildfire danger zones without performing any sort of preventative maintenance. Owners refuse to even do something basic like removing any vegetation within 10 feet of their home because of "it's my property I do what I want" attitudes.

Third, "climate change" has been the go-to excuse for people and organizations that refuse to enact practices to reduce/remove fuel from the forests, such as controlled burns.

[theashpilez]

Like a good neighbor, disappear in thin air....

[AdakStillStands]

I anticipated this a decade ago. Continually rebuilding in known "danger" areas (beaches, tornado-hurricaine alleys, fire prone areas, flooding, etc) has been a waste of time and money. Raising premiums will never keep up with inflation especially when just one piece of property is damaged repeatedly, rebuilt, cars, boats and personal property replaced every few years. One event can make one a millionaire overnight, repeatedly.

[rodneyadderton]

Insurance companies are only into taking your money, not paying it out.

[pyronac]

and yet the CEO's got paid out over 50 million last year, over 40 million in excess to what was calculated as a fair compensation. over 40 million in excess paid to the and that is why this is happening.

[joseroque]

They charge an arm and a leg but when it comes time to pay they cancel you

[shawnm]

State Farm makes profits by making sure not to pay out on claims.

[henryc]

State Farm would also have a valid reason for pulling out of Cali when the state government is so inept at managing the forestry growth in the first place.

[NoName-zmks]

Insurance is to guard against happenstance, but these fires are like clockwork, so who didn’t see it coming? Wouldn’t be a surprise if current customers don’t get their policies renewed.

[____________aaaaaaaaaaaaaaaaa]

It’s just the tip of the iceberg. More companies will follow

[kevindunlap]

Like a bad State Farm don't care!+

[bigtex]

Two reputable roofers say I need new roof due to hail damage. The Allstate adjuster says I have no hail damage. Going to have to fight it out with Allstate just to get the protection I have been paying for for years and years.🤬

[condew]

My Allstate car insurance premium went up 50% in the last 6 months. Then my homeowners went up 30%. Such increases are an invitation to go be somebody else's customer so when I get those insurance offers in the mail, I will be taking them very seriously. I have this theory that if you stay with one company too long, they will gouge you.

[ken]

State Farm says current policy owners won't be affected by the change! Baloney. Their current homeowners will see policy increases (deductibles, and premiums) for any "LOSSES" State Farm paid out. We know how insurance works, and the fact that states require insurance for just about everything makes it easy for these swindlers.

[goodstufffromdavidpaul]

Insurance companies exist to make
Every hurricane wildfire, tornado, flood or earthquake....
causes a rise in your home insurance policy even if it's not your state. This is a gambler leaving the casino because they are losing at the table.

[tomgray]

You're pronouncing their name wrong! They are " Snake Farm " ... they are never there to help customers! They are a bunch of vipers!

[dirtyminerapparel]

It’s not like they didn’t charge more for fire insurance. We pay a lot extra for flood and earthquake. I’m willing to bet their profit is close to 60 or 70% already.