California’s woes with insurance companies leaving the state are continuing.
The Hartford said this week that it will discontinue writing new homeowners policies in the Golden State.
The big picture: The Hartford will continue to renew existing homeowners’ policies consistent with its underwriting guidelines.
- While The Hartford has under one percent of the homeowners market in California, the company is the latest to make a move like this.
- Last year State Farm stopped issuing new policies for property and casualty insurance, quickly followed by a similar decision from Allstate.
- American International Group and Chubb have also reduced the number of homeowners policies they are issuing in California.
What they’re saying: “The homeowners’ insurance environment in California has unique challenges that have required us to reconsider the viability of writing new homeowners’ business in the state,” The Hartford told Insurance Journal.
- “Based on these challenges and our analysis of the trends, we have decided to stop offering new homeowners policies starting Feb. 1, 2024. We do not enter into this decision lightly, and we appreciate and support efforts like Commissioner Lara’s Sustainability Insurance Strategy to help bring stability to the market.”