California E&S Insurance

>The article you linked in the OP mentions that California does allow for insurance companies to raise rates more, it just needs to get approval - and large increases have been approved before. So while it can definitely be argued that the process may be unnecesarily burdensome for insurance companies, they're still choosing to pull out instead of going through the process of raising rates. (I have no idea if the same might be true for Florida, your article focused on California.) It is true of Florida, and all states have regulations on price changes (notification and product approval if nothing else). The problem is that the rates are lagging, far behind. [To quote an article (Cato but still it's accurate here):](https://www.cato.org/blog/california-insurance-market-another-victim-war-prices) >... between 2017 and 2022, California was the worst state in the country for “rate suppression,” having the biggest gap between “the actuarially indicated rate and the rate approved by regulators.” In part this is probably due to how the California Insurance Commissioner is elected, and faces electoral pressures to keep prices lower. >It sounds like you have some problems with how California is choosing to handle home insurance and that's fair. But from an insurance industry viewpoint I think it's worth pointing out that this is a nationwide issue and I've heard of similar problems of people getting non-renewed all over the country. California and Florida are just the biggest examples. Agreed on that. >How the government should intervene is a huge question, but while that's being figured out I think people are right to want insurance companies to do more for their customers than is currently happening. But disagreed on that. Insurance companies "taking one for the team" is not how we can realistically or plainly should go about this. This is revealing flaws, we can't just paper over them. And if we did, that' different pains in the future, ones far harder to deal with. I don't want to be in a position where we have to bail out these companies rather than them getting ahead of the issue to prevent losses.

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