About 1,600 policies for Pacific Palisades homeowners were dropped by State Farm in July, the state insurance office says.

Perhaps the most interesting part of the article:

  • tal@lemmy.todayEnglish
    5·
    2 days ago

    The problem is that it just makes more financial sense to just not insure the area.

    There is always going to be some price at which it makes sense for an insurer to insure a property, as long as they are not restricted in what price they can charge.

    • Jarvis2323@programming.dev
      10·
      1 day ago

      They are restricted. California has an insurance commissioner who has to approve any rate increases. It’s probably easier to stop insuring then to get the rates up to the profitability margin their risk models are suggesting are appropriate.