These Fuckin Marxists Suck!!!

Auto Insurance Companies Are Refusing To Cover Drivers In California


Insurance rates have been on the rise across the country thanks to most prominently natural disasters, inflation and reckless drivers. Of course insurance companies don't really want to cover anyone, especially anyone residing in the state of California, as Oakland's Fox 2 reports. And it's becoming a problem.

Industry experts say insurance companies are losing money on coverage. Not just some money, a lot. So, in order to try and control the hemorrhaging of funds (and unfortunately for consumers) companies are pulling back coverage or outright refusing to cover California residents, as one expert explained to Fox 2.

"A lot of companies are running a more than 100% loss ratio," explained president of Oakland-based Barbary Insurance Brokerage Jerry Becerra. "So that's unsustainable over the long-run."

Becerra said there were many factors to contribute including, the number of accidents being up, as well as a rise in the costs associated with collision repairs."There was a dip in driving during the pandemic, but that's rebounded," said Becerra, so the incidents of crashes have also rebounded. "The cost of repairing vehicles is higher than it used to be due to inflation, type of vehicles, supply chain issues, a lot of things may be driving that," Becerra explained.

He also pointed to increased events of natural disasters, noting property damage from extreme weather events often included damage to vehicles.

https://jalopnik.com/auto-insurance-companies-are-refusing-to-cover-drivers-1850766840

Writing business in CA has historically been a challenge for the insurance industry. The only reason companies try to stay is the size of the market. The Department of Insurance is a nightmare as it attempts to convince citizens it is trying protect them from higher rates. At some point companies don't see a chance to have a little profit and choose to leave.

Quote from: supsalemgr on August 29, 2023, 04:24:52 AMWriting business in CA has historically been a challenge for the insurance industry. The only reason companies try to stay is the size of the market. The Department of Insurance is a nightmare as it attempts to convince citizens it is trying protect them from higher rates. At some point companies don't see a chance to have a little profit and choose to leave.

Exactly!
Our Legislature was bought 50 years ago, the writing was on the wall.