California Insurance Commissioner Ricardo Lara recently rejected State Farm’s request for “emergency” rate increases, setting up what could be a highly consequential showdown with the state’s biggest insurer — and going against the recommendation of his staff experts.

In a rebuke to the state’s largest insurance company, California Insurance Commissioner Ricardo Lara announced Friday he will not grant State Farm General’s request for an emergency rate hike in the wake of the Los Angeles wildfires.

State Farm responded by saying that it “must seriously consider its options within the California insurance market going forward.”

State Farm is requesting a 22% rate increase for California homeowners, citing $1 billion in recent claims and mounting wildfire-related losses. If approved, the change would take effect for renewals starting May 1, 2025.

State Farm pointed out that over the last nine years, the lack of alignment between price and risk means that for every $1 collected in premium, State Farm General paid

California Insurance Commissioner Ricardo Lara rejected State Farm’s “emergency” premium increase of 22% on average for California homeowners.

State Insurance Commish Ricardo Lara has turned down a request by State Farm General to raise home insurance rates by an average 22%.

State Farm's request for a rate hike has been rejected. Elon Musk on Trump Derangement Syndrome: They've become 'completely irrational' Hundreds of United Passengers Stranded on Snowy Island for Days Mark Ruffalo wants you to remember that ‘every petty