The anger of homeowners in Los Angeles is growing as they are facing an insurance crisis as companies could struggle to cover the staggering costs of the wildfires.
Tens of thousands of displaced LA residents have lost everything but the clothes they were wearing and a few select personal items, leaving insurance companies on the hook for colossal payouts.
But customers of one of California‘s biggest insurancers ranted against the company last week after the company cancelled fire coverage for thousands of homeowners in the Pacific Palisades last summer in an attempt to avoid ‘financial failure’.
State Farm said in 2023 that it would stop accepting new homeowners-insurance applications in California and then added last year that it would stop covering 72,000 homes across the state due to the growing frequency and severity of wildfires.
Comedic actor Rob Schneider ranted against State Farm last week, saying they were ‘a pile of crap for cancelling insurance policies’.
Actor James Woods, whose Pacific Palisades home was engulfed by flames and destroyed, also confirmed in a post that ‘one of the major insurance companies canceled all the policies in our neighborhood about four months ago’, an apparent reference to State Farm.
Even if residents are still covered by insurance, they could face a $115billion shortfall due to insurance companies likely only covering $20billion of the $135billion in estimated losses.
‘The concern isn’t whether insurance companies will pay out for damage but rather how much and how long it will take,’ Amy Bach, the executive director of United Policyholders, a California-based nonprofit consumer group, told NBC. ‘For the people who lose their homes in these wildfires, there will be fights over coverage.’
Those insurance company CEO’s ought to be careful. We saw what happened to the healthcare CEO. No shortage of unstable folks out there.
Not the solution 1256 as we know …but they voted these morons in, the head dumb ass twice
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Insurance is a business. As with fla and hurricanes, la it’s fires..fla adapted new construction rules to ease the ins pain but hey building in areas that are risky can have costly premiums. these companies pulling out of the marxist utopia of cal who did NOTHING with funded projects then stole diverted funds and caved to environmental dictators. Vote blue is a vote for the woke luciferian failure they shoved down our throats.
No good fruit from that rotten tree is pretty evident now!! A ideal built on sand.
We can’t blame Jake from state farm.
Luciferian luciferian luciferian, is that all you know 6:26
After this disaster if California doesn’t become a RED state, they deserve what they get.