Live Insurance News

Why 99% of Term Life Policies Never Pay Out And What Farmers’ Lawsuit Tells Us

March 25, 2025March 26, 2025 Tate Ellison

Consumer Protection in Focus: The Farmers Life Insurance Lawsuit A high-stakes legal battle is brewing in California as Farmers New World Life Insurance Company faces allegations of overcharging policyholders and improperly lapsing policies. The class action lawsuit, filed on March 18, 2025, in California Superior Court for Los Angeles County, accuses Farmers of engaging in predatory practices that left many policyholders vulnerable. While the case is still in its preliminary stages, it has already sparked critical discussions about consumer rights and corporate accountability in the insurance industry. Understanding the Allegations…

Are Lithium-Ion Batteries Putting Homes at Risk During Natural Disasters?

March 24, 2025March 23, 2025 Marc

Understanding the Risks: Lithium-Ion Batteries in Natural Disasters Lithium-ion batteries have become indispensable to modern life, powering everything from smartphones and laptops to electric vehicles (EVs) and large-scale energy storage systems. The global demand for them is projected to grow by an estimated 30% annually until 2030. However, as their presence becomes more pervasive, so do the risks they pose in the context of natural disasters. Natural disasters such as hurricanes, floods, and wildfires can severely compromise the safety of lithium-ion batteries. When exposed to conditions like saltwater submersion or…

USAA Settlement Offers Millions to Data Breach Victims

March 12, 2025March 11, 2025 H. Cutner

USAA has reached a $3.25 million class-action settlement following a 2021 data breach that exposed customers’ personal information. If you’re a USAA customer impacted by the breach, it’s time to take action; filing a claim before the April 7 deadline is essential to securing your share of the settlement. How to File a Claim in the USAA Settlement If you were affected, you may have already received a unique notification from USAA by email or mail. These notifications include key details, such as a unique ID number and specific codes…

37 Insurers Slapped with $20M in Insurance Fines for Breaking New York’s Reporting Rules

March 11, 2025March 11, 2025 G. Turner

New York State Fines Auto Insurers $20 Million Over Reporting Failures The New York State Department of Financial Services (DFS) has handed down $20 million in fines to 37 auto insurers for failing to report new and terminated insurance policies in a timely manner. This enforcement move, announced recently, comes after years of warnings from state regulators about ongoing reporting failures. While the fines aim to improve compliance, the case has raised important questions about outdated reporting systems, consumer protection, and accountability. Why Timely Reporting Matters for Drivers When you…

Liberty Mutual to Refund Louisiana Homeowners Over Assessment Overcharges

March 11, 2025March 11, 2025 H. Cutner

Why Louisiana Homeowners Deserve Answers If you’re one of the 138,000 Louisiana residents insured by Liberty Mutual, you may soon see a small refund coming your way. For four years, the insurance giant overcharged policyholders for the Louisiana Citizens Property Insurance Corp. assessment. This surcharge is intended to help homeowners who cannot find coverage on the private insurance market due to natural disaster risks, but errors in Liberty Mutual’s calculations left many consumers paying more than they should have. The overcharges, which total about $4 million, might not break the…

Miami Lawmaker Takes Aim at Condo Insurance for Noncompliant Buildings

February 26, 2025February 25, 2025 H. Cutner

Noncompliance with Building Safety Laws Draws Scrutiny A Miami lawmaker is spearheading efforts to hold condominium associations accountable for adhering to Florida’s newly implemented building safety regulations. These laws, adopted in the aftermath of the tragic Surfside condo collapse in 2021, are designed to ensure the safety and sustainability of residential buildings, particularly those three stories and higher. Under state law, condominium associations were required to complete a building inspection and conduct a funding study for future repairs by December 31, 2022. However, of the 11,270 associations mandated to comply,…

California Rejects State Farm’s Emergency 22% Home Insurance Rate Hike Request

February 18, 2025February 17, 2025 Angela Linders

California Insurance Commissioner Rejects Rate Hike Amid Consumer Concern California Insurance Commissioner Ricardo Lara has rejected a proposed 22% emergency rate hike for home insurance requested by State Farm General Insurance Company. The decision came after the company failed to provide evidence proving the increase was necessary and could not explain how the additional revenue would address its prior decisions to stop writing new policies in the state and not renew existing ones. Lara’s letter to State Farm underscored his commitment to protecting policyholders from unnecessary financial burdens while voicing…