California’s property-insurance crisis is often framed as a tug-of-war between consumer groups that want to keep premiums low and insurance companies that want hikes to reflect the state’s rising risk to climate change.
But a third group recently entered the battle: California’s powerful housing lobby.
Last week, trade associations representing home builders and property owners came out in support of recent action by Insurance Commissioner Ricardo Lara to reduce the influence of consumer-advocacy groups they blame for disrupting insurance markets.
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Insurers say the inability to get timely rate increases deters them from operating in California, resulting in less competition and higher premiums.
