Farmers Insurance, the state's second-largest home insurer, said he expected to lose at least $ 600 million from Los Angeles fires, a significantly smaller figure than some other major insurers have announced.
The company from Los Angeles said the figure Includes payments from its assurance program but not an expected assessment from the Fair Plan, the State State Home Insurer, which is complemented by California licensed carriers and requires nearly $ 1 billion to help pay its claims.
Farmers said his “focused approach to overseeing their state coverage portfolio, a strong capital base, and a comprehensive assurance program” reduced his losses, which includes his separate farmers' insurance exchange, fire insurance exchange and truck insurance exchange companies .
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Like other carriers in recent years, farmers had retreated from the state insurance market, limiting the number of policies it would announce. But in December he announced that he would write More home insurance policies And take new customers seeking condo, renters and other property attention.
He referred to market improvements and regulatory reforms that came into force this year. They include allowing insurers to charge their California policy holders for security costs, obtained by other insurers to limit potential damage costs after a catastrophic incident such as LA County Fires.
The fires are expected to be the most expensive wildfires in the nation's history, with insurers possibly paying as much as $ 45 billion in claims. The Global S&P graduation agency expects it to raise property insurance rates or reduce state coverage options.
State Farm, the largest home insurer in California, has not announced its losses. However, S&P Capital IQ estimates that they will total $ 6.5 billion, before assurance payments. The Bloomington Insurer, Ill. refuse by State Insurance Commissioner Ricardo Lara unless the company can provide additional data to support its application.
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Other insurers who have announced losses include Allstate at $ 1.1 billion, Chubb at $ 1.5 billion and passengers at $ 1.7 billionA figure containing his estimated fair plan assessment.
Mercury Insurance, also located in Los Angeles, said his gross losses could total up to $ 2 billion but could net under $ 200 million After security and possible restorations of Southern California Edison, if the utility is liable for it triggering Eaton's fire.