Zenefits under investigation by California insurance regulators

insurance companies investigation

The software company has now had its business practices called into question and officials will be examining them. Zenefits, a software company, is now facing an investigation by California insurance department officials, as the firm’s business practices have been called into question. The California Department of Insurance released a statement with regards to the investigation that launched last year. While the California insurance officials have only just recently announced that they are looking into Zenefits and the way it conducts its business, it also stated that its efforts started back…

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California trade groups and insurance regulators settle two Iran divestiture

California insurance regulators and trade groups have come to a settlement over two suits regarding efforts that were being made to put pressure on insurance companies to stop their investments into organizations that took part in nuclear, defense, or energy-related work in Iran. The announcement was first made at the end of Friday by Dave Jones, the Insurance Commissioner in California. The lawsuits had to do with a controversial initiative started in 2009 by Steve Poizner, the previous California Insurance Commissioner, which threatened insurers with penalties and publication when they…

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Mercury Insurance to raise rates in California, agitating consumer advocates

Mercury Insurance is looking to raise rates on homeowners and renters insurance policies in California. The company has plans to raise rates by an average of 8.8% for some 300,000 consumers in the state. If state regulators approve the proposal, the company will be generating an additional $19 million per year in profits. Consumer Watchdog, a non-profit organization concerned with fairness for insurance consumers, claims that the proposal is unreasonable because the insurer is already awash with profit. According to Consumer Watchdog, the company paid less than 50 cents on…

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Legislation to give California insurance regulators more power is pulled from the Legislature

For the past several months, California legislators have been toiling over a bill that would give the state’s insurance regulators expansive new powers. The bill would have expanded upon regulator’s authority and enabled them to reject or revive insurance rate proposals from the state’s insurance companies. The bill has generated a fair amount of opposition, especially from insurers who are loathe to see regulators wielding more authority. Now the future of the bill is uncertain, as its author, Assemblyman Mike Feuer of Los Angeles, pulls it from consideration. Feuer’s legislation…

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