California Insurance Commissioner Ricardo Lara Apologizes for Accepting Industry Contributions

Insurance Commissioner Ricardo Lara - Government Portrait from 2016

Lara released a letter last week that acknowledged that his campaign had solicited those contributions. California Insurance Commissioner Ricardo Lara has said he was sorry for having both solicited campaign contributions from the insurance industry and for having accepted them. Last Tuesday, he issued a letter in which he acknowledged the activity as well as his regret for having done so despite a campaign pledge he had made not to accept contributions from insurers. The letter was issued to a number of groups, including Public Advocates, United Policyholders and Health…

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Mercury Insurance ordered to pay $27.5 million in fines

Mercury Insurance - Lawsuit - Gaval

A California appeals court has ruled in favor of reinstating the penalties against the insurer. In California, a state appeals court has reinstated a fine of $27.5 million in penalties against Mercury Insurance Co. The ruling from earlier this week was the outcome of a case accusing the insurer of charging illegal broker fees. The auto insurance company charged illegal broker fees in 180,000 transactions with its customers. The fees were charged to customers from 1999 through 2004. The fines against Mercury Insurance were originally imposed by the California Department…

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California watchdog group calls for tougher insurance industry rules

Insurance Industry Rules - Business Man

A consumer advocacy group is now petitioning state legislators to reconsider a privacy bill. A California consumer watchdog is petitioning legislators to tighten insurance industry rules. The advocacy group is asking lawmakers to rethink the pending California Consumer Privacy Act. According to the watchdog, the act has the potential to allow insurance companies to sidestep privacy laws. The California Consumer Privacy Act is slated to become effective in January 2020. It was written to provide regulations preventing the sale of consumer personal information from being sold to other companies. It…

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California auto insurance investigating premiums discrimination

san francisco california auto insurance

The state Department of Insurance launched an investigation into the factors used to calculate rates. The California auto insurance industry may soon be changing the way its rates are calculated in order to reduce discrimination against drivers from minority neighborhoods. The California Department of Insurance launched an investigation into the practices of eight auto policy providers in the state. The investigation is meant to decide whether the insurers are discriminating against people in minority neighborhoods. The California auto insurance rate investigation was launched in response to an article published on…

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Anthem health insurance policies with reduced coverage receive approval

california Anthem health insurance

A judge has given the nod to allow the insurer to move forward with a plan offering no out of network care coverage. Anthem health insurance has been allowed to continue selling a California health plan that doesn’t offer out of network care coverage. A judge gave the ruling that stopped Anthem Blue Cross from being restrained from switching half a million Californians to the plan. A consumer group requested that the judge keep a restraining order in place to stop Anthem from making the switches. The restraint would have…

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California insurance group battling rates under attack

California Insurance News

Consumer Watchdog has been facing criticisms regarding its latest steps. A consumer group that has backed a recent California insurance initiative and has saved residents of the state from millions of dollars in fees is now facing a new wave of fire from both Democratic and Republican lawmakers and political consultants. Critics have pointed out that Consumer Watchdog has been profiting from the new regulation. Moreover, it has also found that the special California insurance regulation is, essentially, dominated by the advocacy group. The consultants are arguing that the organization…

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California health insurance initiative has qualified for the ballot in 2014

California health insurance

This change in the regulation of the industry will be voted on in just over two years. A California health insurance industry regulation initiative has now qualified to be added to the ballot in November 2014. This initiative will increase the regulation on the rates that are set by insurers. The measure was drafted by Consumer Watchdog, a consumer advocacy group based in Santa Monica, after the legislation for the regulation of California health insurance rates fell short last year in the previous effort. Its approval could change the face…

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