California officials have approved Allstate’s plan to increase home insurance premiums by 34% starting in November.
This increase comes after State Farm’s announcement of a 20% rate increase.
Driving the news: The rise in homeowner’s insurance costs is primarily due to devastating fires, and the state is taking measures to provide discounts for homeowners who take mitigation measures.
- The actual insurance premiums will vary depending on factors specific to each property, such as its features and steps taken to prevent wildfire damage.
- State officials encourage people with concerns or questions about insurance policies or rate increases to contact the Department of Insurance.
What they’re saying: “California’s insurance rates, on average, are lower than many states, including large states like Florida or Texas,” said Deputy Insurance Commissioner Michael Soller. “We’re seeing the impact of disasters. Not just wildfires but winter storms – seeing the impact of climate change all across the nation. So, we’re not alone.”
