The real reason State Farm won’t sell home insurance in California anymore

[EvilCat Breath]

Once the stores have been looted out of business, the only places left to rob will be residences.

 

[multivita-man]

government created a problem with a solution ready and waiting,,,

Insurance as a bedrock of modern capitalism. Not only homeowners but lienholders (i.e., financial institutions that lend money), investors, and other businesses need to have confidence that these markets will function. Like it or not, we want insurers to be regulated, just like we want banks to be regulated.. Without regulation, there would be a lot more uncertainty built into the overall market.

You can cry all you want about big gubmint all you want, but that's not the reason insurance companies are leaving CA and other states where nature is unpredictably punishing. Human activity has made it financially unwise to guarantee payment for future property damage, plain and simple.

 

[progressive hunter]

Insurance as a bedrock of modern capitalism. Not only homeowners but lienholders (i.e., financial institutions that lend money), investors, and other businesses need to have confidence that these markets will function. Like it or not, we want insurers to be regulated, just like we want banks to be regulated.. Without regulation, there would be a lot more uncertainty built into the overall market.

You can cry all you want about big gubmint all you want, but that's not the reason insurance companies are leaving CA and other states where nature is unpredictably punishing. Human activity has made it financially unwise to guarantee payment for future property damage, plain and simple.

thanks for your opinion,,

remind me,,
how many people did stalin and moa end up killing??
100 million??

 

[multivita-man]

thanks for your opinion,,

remind me,,
how many people did stalin and moa end up killing??
100 million??

Something like that I guess...

 

[okfine]

USAA all the way.

When Garamendi was commissioner he said USAA was the best. He said Farmers, Mercury, and Safeco were low on his list. He battled and slapped the crap out of State Farm. They hated him. CA had a very effective insurance commissioner in John.

 

[progressive hunter]

Something like that I guess...

let that tell you what I think of your opinion,,

 

[multivita-man]

let that tell you what I think of your opinion,,

Oh wait, you thought I was serious about that Stalin stuff...

Schtick is lost on you people.

For the record, no, I don't support murderous totalitarianism in any form or on behalf of any ideology. I think nature will take care of our population problem without the need for building a modern totalitarian system.

 

[Leo123]

BLM has a ‘let it burn’ policy. Communities adjacent have to battle fires already raging from government land. CA closed federal land to logging decades ago. The loggers kept that land free of debris and had their own firefighting equipment. Private forests like Sierra Pacific have no such fires.

 

[okfine]

BLM has a ‘let it burn’ policy. Communities adjacent have to battle fires already raging from government land. CA closed federal land to logging decades ago. The loggers kept that land free of debris and had their own firefighting equipment. Private forests like Sierra Pacific have no such fires.

Sierra Pacific? You've got to be kidding. Their reforestation practices gone wrong.

 

[Leo123]

Sierra Pacific? You've got to be kidding. Their reforestation practices gone wrong.

How so?

 

[struth]

To be accurate, it's not just climate change-related fire dangers that are the danger; it's also the fact that there's a lot of high-priced property that an insurance company doing business in California is being asked to protect. One fire is a shit-load of damage. Double if it's two, and thrice if it's three, and so on. California real estate is becoming increasingly uninsurable and that is going to have devastating economic impacts.

But for those cheering this one, Florida is probably not too far behind. Cheer with caution.

the difference is people are fleeing to FL and fleeing from Cali

 

[Resnic]

Cali is run by Demafasict, frankly that’s a bad bet…i get why insurance companies, and people are fleeing

Obviously you didn't read the story at all.

Because the governor nor democrats had anything to do with them not covering home insurance. And they didn't flee, they still do car insurance in California.

 

[struth]

Obviously you didn't read the story at all.

Because the governor nor democrats had anything to do with them not covering home insurance. And they didn't flee, they still do car insurance in California.

the fled the home insurance business driven by the fact the market is not a safe bet due to demafascist policies

 

[multivita-man]

the difference is people are fleeing to FL and fleeing from Cali

They're fleeing to Arizona, too -- oops, Phoenix just stopped building permits for some subdivisions (just the beginning) b/c they're running out of water.

Florida, OTOH, will have plenty of water in the coming years -- Biblical proportions of it. At least the Californians who move there won't have to deal with fires, lol.

 

[struth]

They're fleeing to Arizona, too -- oops, Phoenix just stopped building permits for some subdivisions (just the beginning) b/c they're running out of water.

Florida, OTOH, will have plenty of water in the coming years -- Biblical proportions of it. At least the Californians who move there won't have to deal with fires, lol.

AZ will solve the problem. Because people are coming. People are fleeing Cali like they fled East Berlin

 

[multivita-man]

AZ will solve the problem.

Sure they will; just like California will solve its wildfire and its own water problem. The ecology will collapse, and people will flee somewhere else - problem solved.

Because people are coming.

That is probably the last thing Arizona needs.

 

[LAUGHatLEFTISTS]

A governor is supposed to look out for the consumer. I get that insurers don't like it and adds to their risk profile, but that's a perfectly valid piece of pro-consumer legislation.

The blunt reality is that the cost of doing business in a way that benefits both the consumer and the insurer is too much for California, and that's because of human development, human overgrowth, human market economics, and human-caused ecological destruction. Consequently, human systems are beginning to falter. There are limits to growth after all.

Replace human with leftist and you nailed it!

 

[LAUGHatLEFTISTS]

It's not changing the subject; it has been argued on this thread that the reason CA insurers are leaving is because of regulation. Insurance is regulated out of necessity. It would be a completely worthless product without adequate regulation.

Insurers are leaving CA because there are too many wealthy people, with lots of high-valued assets to protect, living in ever-closer proximity to devastating wildfires. Insurers either cannot accurately account for the risk they are being asked to insure and eventually pay out, or they have a good idea what the risk is and know they're holding a live one.

California will not be the only state with this problem. There are limits to growth, and we're finding out the hard way now.

Yes! What kind of crazy insurance company would want to do business with the worlds fifth largest economy and a bunch of wealthy people!

 

[multivita-man]

Replace human with leftist and you nailed it!

Nah, it's capitalists considering 4 of the top 10 companies in the US by market cap are based in woke Bay Area, CA, and the 5th one was founded in CA but moved because man-baby thought he was moving to a business-friendly state, only to find out that Abbott wants to tax the shit out of EVs, lol.

Yeah, pretty sure it's capitalists in CA who attracted large numbers of people and fueled growth in major cities along the coastline, driving up property values by manipulating local zoning to prevent affordable housing. They brought artificially high-paying jobs to the state and created artificially high real estate values. And now it turns out, insurance companies can't afford to pay for their over-priced cribs near the sea. So they bailed.

 

[multivita-man]

Yes! What kind of crazy insurance company would want to do business with the worlds fifth largest economy and a bunch of wealthy people!

Apparently State Farm and All-State. And they probably won't be the last.