Californias new insurance czar reveals massive overhaul to entire industry in the state: No more

California’s next insurance commissioner is promising a sweeping overhaul of the state’s embattled insurance industry, including a first-of-its-kind public disaster insurance program that would guarantee wildfire coverage for homeowners.Jane Kim, a former San Francisco supervisor who defeated fellow Democrat Ben Allen in the race for insurance commissioner, declared victory Friday after campaigning on a plan to wrestle control of wildfire coverage away from private insurers and create a state-run, nonprofit alternative.“We are here to say no more.We are going to make insurance work for us again,” Kim told supporters at her victory event.

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By clicking above you agree to the Terms of Use and Privacy Policy.Never miss a story “We are going to take on this $3-trillion industry because they have been profiting for way too long by raising our premiums, canceling our coverage and fighting our claims.”Kim’s proposal, dubbed “Natural Disaster Insurance for All,” would separate wildfire coverage from traditional homeowners insurance policies and move it into a public, nonprofit fund.The program would make wildfire insurance available to every current California homeowner, with premiums going toward providing coverage rather than executive compensation, shareholders or corporate advertising.“The idea is that every current homeowner would be covered, and it would be a nonprofit fund where premiums don’t have to go to CEO pay, shareholders and Super Bowl ads,” Kim said.The ambitious proposal comes as California grapples with an increasingly severe homeowners insurance crisis, with major carriers retreating from the state and residents struggling to find affordable coverage.Seven of California’s largest property insurers have limited or paused new homeowners policies in the state, shrinking the private...