Tag: California

WA Cares Survives: A Victory for Public Long-Term Care Insurance in the US

Ben Jones
Long-Term Care Insurance in the US

Washington State Upholds Innovative Long-Term Care Insurance Program In a decisive move, voters in Washington State have chosen to uphold the state’s pioneering long-term care insurance program, WA Cares. This decision comes after the rejection of Measure 2124, a ballot initiative aimed at dismantling the program. WA Cares stands as the first of its kind in the United States, offering residents up to $36,500 in long-term care benefits, with adjustments for inflation. The program is funded through a payroll tax surcharge of 0.58 percent, impacting all workers in the state.…

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Why Allstate Is Dodging Florida and California in Its Expansion Plans

Nordstrom
Allstate steering clear of Florida and California

Allstate’s New Focus Does Not Include California and Florida In a significant strategic move, Allstate is positioning itself to capitalize on growth opportunities in the homeowners insurance market by focusing on lower-risk areas, consciously steering clear of Florida and California. This decision aligns with the company’s commitment to maintaining profitability while navigating the increasing challenges posed by severe weather events and inflation. Navigating the Risk Landscape Allstate’s decision to avoid expanding its homeowners insurance market share in Florida and California stems from the heightened risk of weather-related losses in these…

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Is It Time for an ACA-Style Transformation in the Homeowners Insurance Market?

H. Cutner
Affordable Care Act in Homeowners Insurance Market

Exploring Critical Vulnerabilities in America’s Homeowners Insurance Market Recent events, including Hurricanes Milton and Helene, have highlighted significant vulnerabilities in the U.S. homeowners insurance market. These climate-induced disasters have added pressure to insurance providers, with the sector experiencing turmoil due to the increasing frequency and severity of such events. This has raised concerns over the financial security of millions of American homeowners. Florida is among the top 10 states with the highest number of uninsured homes. Between 15% and 20% of Florida homeowners currently lack property insurance. Home insurance premiums…

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Liberty Mutual’s Subsidiary Non-Renews 17,000 Fire Policies in California Due to Technology

Ester Adams
17,000 Fire Policies Non Renewed in California Due to Technology

Liberty Mutual to Discontinue Dwelling Fire Policies In an unusual development, Liberty Mutual Fire Insurance Company, a subsidiary of Liberty Mutual, has revealed that it will not renew around 17,000 dwelling fire policies in California, citing technology-related factors rather than the increased fire risks that have been prevalent in the state. The decision, set to unfold from September through November, stems from the company’s intent to retire the “antiquated” technology previously used to manage these policies. According to filings with the California Department of Insurance, Liberty Mutual stated that “it…

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Allstate Reports Strong Q2 Financial Results Amidst Legal Challenges

John B.
allstate 2q financial report

The Allstate Corporation has reported robust financial results for the second quarter of 2024, showcasing significant improvements across various performance metrics. However, the positive financial news is clouded by recent legal issues involving its subsidiary, National General, and a substantial rate increase request in California. Impressive Q2 Financial Performance Allstate’s total revenues for Q2 2024 reached $15.7 billion, marking a $1.7 billion increase from the previous year. This growth was primarily driven by an uptick in property-liability earned premiums. The company posted a net income of $301 million attributable to…

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