Insurance providers Allstate, State Farm, and Chubb Insurance have claimed billions of dollars worth of losses as a result of wildfires that ravaged the Los Angeles region for most of January.
Allstate says losses related to January California wildfires will be approximately $1.1 billion, pre-tax, net of reinsurance. The insurer, which is based in Illinois, implied the losses would be worse were it not for a decision to reduce market share beginning in 2007.
On Feb. 3, State Farm General asked the California Department of Insurance to approve interim rate increases, including 22 percent average for homeowners, to avert a dire situation for California policy holders….