What people aren't being told - California has rate controls, the companies cannot increase rates to meet current costs provide coverage. Just like any other business, if you are not allowed to operate without loosing money, you get out of the market.
That isn't the full story either. Insurance is a gamble by both parties. The insured is gambling they will need the policy. The insurance company is gambling they won't. Both are gambling. Right now insurance companies are taking it in the teeth after decades of being on the correct side of the bet in the US. Well, sometimes the gamble is a loss. California has a law which says they cannot change the terms of the bet without approval. It's not a good law exactly, but it's not a bad law either to regulate the casino. Because I'm in the rest of the US and they've unilaterally changed my policy. For decades insurance companies were some of the highest margin performers in the US. Instead of saving for a year when the outcome of all their gambles could go against them they spent lavishly. They lobbied to have the amount of money they had to keep on hand to cover bad bets to go down so they could spend more lavishly. So now we're in a bad year and they don't have the money to pay out. Well. F them. This is the consequences of getting the laws past at the federal level that they wanted. Pray for rain gotta deal with the mud. They can suck it up for a few years and build savings to cover bad years up to what they should actually have always been. We didn't create this problem. They did. And now we have to bail them out.
@@halycon404 I like what you wrote, but 2 things to clarify: 1. Insurers have a large nest egg. For example State Farm has $130B 2. Climate change is changing the parameters of the bet. That’s not the insurers fault, that’s the republicans fault, so why should the insurers pay for the republicans stupidity? And for the voters bad choices?
@@halycon404 Actually both parties created the problem. People have continued to build homes in areas that are prone to floods, hurricanes, tornadoes, etc.
My auto insurance rate jumped by 43% overnight despite 20 yrs of flawless record with the same insurance company. Unfortunately shopping around doesn't help since quoted price from competitors are even higher
Uninsured drivers are spiraling up the costs. They cause MORE damage and thereby higher rates and higher rates cause more uninsured drivers ... and the circle goes on. Believe it or not, but in most European countries there are almost no uninsured drivers. They have a smart system of automatic flags and enforcement. If they can do it, why can't America do it? It is just a matter of will.
Everyone wondered how they were going to implement " You will have nothing and be happy" Now we know, we won't be able to insure our homes and auto's, and won't be able to finance them at respectable rates. If you can't finance them or insure them, you can't own them. They will suspend you license if you drive without auto insurance, and your lender won't allow you to own a home with a mortgage without insurance.
Don't buy new $80,000 pickups, buy something old reliable and cheap. I wish people had the freedom to build very small homes then you wouldn't have to worry (so much) about not having homeowners insurance.
@@liberals_destroy_everythin2497 But I'm not talking about them. I am talking about people that work, make money but don't want or have to spend so much on a decent home. No, I am not a leftist.
@@bertroost1675 I agree with not buying $80,000 pickups. But good luck buying "something old, reliable, and cheap"in California. Chances are, 90% of the time, if someone is selling a used car for cheap, there's something seriously wrong with it. If a person had a reliable car, doubtful he'd sell it. I mean, have you ever heard a person say, 'This car is reliable as hell, cheap to maintain, never let me down. I think I'll sell it.'
I’m in Ohio and the housing market here over the last 7-8 years is unlike anything I’ve ever seen. Homes that were bought for $130K in 2015 are now being sold for $590k. I’m talking about tiny, disgusting, poorly built 950 square foot shit boxes in quite mediocre neighborhoods. Then you’ve got Better, average sized homes in nicer neighborhoods that were $300K+ 10 years ago selling for $750k+ now. Wild times.
A recession as bad it can be, provides good buying opportunities in the markets if you’re careful and it can also create volatility giving great short time buy and sell opportunities too. This is not financial advise but get buying, cash isn’t king at all in this time!
On the contrary, even if you’re not skilled, it is still possible to hire one. I am a project manager and my personal portfolio of approximately $750k took a big hit in April due to the crash. I quickly got in touch with a financial-planner that devised a defensive strategy to protect and profit from my portfolio this red season. I’ve made over $350k since then.
@@hunter-bourke21 I've been thinking of going that route been holding on to a bunch of stocks that keeps tanking and I don't know if to keep holding or just dump them, do think your Fin-coach could manage my portfolio-restructuring as i wouldn’t mind a recommendation.
Camille Alicia Garcia, is my portfolio-coach, I found her on Bloomberg where she was featured, I googled her name on the internet. Fortunately I came across her website and reached out. You can go verify yourself.
I greatly appreciate it. I'm fortunate to have come upon your message because investing greatly fascinates me. I'll look Camille up and send her a message. You've truly motivated me. God's blessings on you.
I fired Allstate Insurance about 8 years. ago. Heres my story: Im now 76, had Allstate since I started driving at 16, owned my first home at 23 and had both homeowners and auto for 2 cars. Moved 2 more times and each time took Allstate with me. After more than 50 years I had my first minor auto claim ($1200.00). My first auto or homeowners claim mind you. No, I said no traffic violations. Not many people can say that. Well, to show their appreciation, they raised my rates significantly for a claim of $1200,00. I fired them, they had no customer loyalty at all. I was the one who did the right thing and waited for the owner to come out of the store after I scratched their door. That taught me a lesson, just drive away, never do the right thing, you will be punished. Go to hell Allstate, insurance is a rip off anyway.
Buddy. Regardless of whatever you believe, these two things are true. One, causing over $1000 worth of damages will go on your record & bump up your rate with all insurance companies. Two, accident forgiveness is not allowed in California. Your new car insurance company charged you for the accident as well.
@@southerncali88You hit somebody else’s car while their car is parked. Why the hell would that not count against you? That’s a traffic accident. You moved into a parked car.
Insurance companies, when the money is flowing in their direction then everything is good & happy but when the money flows the other direction you have to hire a lawyer to force them to do what they are supposed to do.
This happened to me today. I missed a payment and was dropped. I called my broker who said the cheapest car insurance he could find for me was $635 per month. Pay your insurance and make sure to not miss a payment. This is not right.
Insurance companies do not like paying claims. I had two claims in two years from people hitting my parked car. Each claim was less than my yearly insurance premiums. But, the insurance company sent me a unhappy letter pointing out that two such claims was outside of the norm. No duh! That is the reality of providing insurance. Some events are outside of the norm...
Unless the damage was really severe, I wouldn't have even filled a claim. It's wrong, but insurance companies hold ANY claim against you, even claims that are not your fault.
Blaming the insurers is understandable--we all have insurance stories. But to blame them overall for an insurance crisis in one particular state is the easy way out. It is, basically, a competitive market. California needs to examine its own insurance laws that were intended to protect the consumer, but are having the opposite effect. Rules like those always seem to have unintended consequences. BTW, at 5:12 you can see why insurance is needed in CA.
They are offloading risk - any risk - to maximize profit. They only want premium payers. Wouldn’t be surprised if they are denying or slow-walking claims.
Everyone will get a taste of it before it's over ....there's lots of folks snickering behind their hands at the coastal insurance woes that won't be so happy in a couple years . Already started with tornado and flood policy coverages , will spread to exclusionary clauses for car insurance in areas deemed " unsafe " due to poor driving habits , crime , cost of living , you name it , the insurance companies will want a " special clause " or exclusion . They work quietly .....lots of sound bites and entertaining , feel good commercials while making the trip to each state capitol prior to the Legislative sessions to try to maneuver changes through the insurance regulations ....with the Holy Grail of Insurance always in view ...which is to be allowed to constantly depreciate an allowable claim to the actual cash value of the repair or loss . Basically wanting to always be allowed to pay about 30 cents on the dollar for a " covered loss " . It's coming
The problem here in Florida is that it originates from crooked lawyers and scam roofing companies. They were going hand-in-hand into litigation against home insurance companies, and companies got tired of being drained over bogus claims. Slowly, our lawmakers are implementing changes.
The California economy is based on almost everyone driving a car. If auto insurance becomes unavailable, the state will be forced to repeal the mandatory insurance law.
Yet my homeowners insurance went up $250 due to the wild fires here in California, now the insurance companies stop insuring people's homes. So they can "take the money and run"? Thanks Ricardo Lara for approving those rate hikes!
I don’t know who liking this comment because they clearly didn’t watch the video. It’s ALL on the commissioner’s office. 3 years of doing nothing about rates.
California thinks "consumer protection" is soak the insurance companies. It's the same mind-set that maintains moratoriums on evictions from rental properties and has for over three years.
Received a quote today from Allstate auto insurance, and it's a bit disheartening - a little over $500 per month. I'm now 40, and the only blemish on my driving record is a rolling stop sign violation from when I was 19. It's frustrating to think about how insurance costs can prevent people from accessing essential transportation to get to work. It seems unjustifiable for insurance companies to impose such exorbitant prices, especially when they already rake in billions in profits. These practices feel unethical and should be subject to scrutiny. There has to be a better way to ensure fair and accessible auto insurance for everyone.
They should. That said, California’s legal system allowing people to sue in ways NOT allowed in other states means the liability is MUCH higher. Example: a wreck in Texas that’s IDENTICAL to one in California will cost less than half.
Or could it be that the insurance companies are have to pay so much for all the repairs, thefts, lawsuits. That your $100 a month payments just can’t keep their heads above water.
It began with Florida, but now California has joined the fray. I predict that insurance companies from various states will follow suit, prioritizing their own benefits whether justified or not. Unfortunately, the politicians seem content to sit back and take no action.
The cause of this situation is Prop 103 and the inaction of the CA Insurance Commissioner Ricardo Lara. Not allowing insurers to adjust their costs for increased reinsurance costs, high inflation, and outdated rate filing methods have resulted in this insurance market turmoil. Until the regulation is amended, there will be no end in sight to this crisis.
I would say Prop 103 and climate change. Prop 103 wasn't a problem when there wasn't a drastic increase in risk of fire (via drought) and flooding and hurricanes from climate change. Now that those have happened Prop 103 is tying their hands to adjust prices to reflect the new reality of how expensive living in high risk areas is because rates have to be tied to historical trends even though we've pivoted off of the trend line. And the insurance commission which can act to grant large price increases to keep providing insurance viable in CA just aren't acting. Of course, the state can also help by ensuring more homeowners take fire safety precautions and the state takes more wildfire precautions, and that new construction doesn't happen in high risk areas.
Insurance companies go by your credit also if you haven’t paid your rent and your credit sucks insurance companies are starting to understand you are a bad risk
eligibility also includes time you have had insurance. if you bounce around, your rates gonna suck, to combat this, the agency I write for will no longer give you a shot if you havent had at least 12 months of continuous insurance. You also cant lapse for over 30 days and expect any rated company to take you on. Tac on all the other requisites these companies have, and at this point all people qualify for is pronto and amax
Something is definitely going on with Allstate. Got a letter in the mail from Allstate with only two weeks notice that I would have pay upfront 50% of my premium which was over a $200 jump on top of my regular payment amount for this July ! I called and asked why and was told it was a corporate reaction towards the company losing money on policies they overreached on. So now we the longtime good clients with no blemishes have to foot the bill to cover their calculated mistakes. Based upon how apathetic these California elected officials are acting it is easy to guess they are pocketed people by the insurance companies.
Do you even know how insurance works? Your not just covering your risk, your covering everyone's risk. Buy liability insurance for your car. Everything else should be self insured by your emergency fund. Don't have a mortgage. The borrower is slave to the lender. I only pay cash for everything I buy. And I am lower middle class. I don't have insurance, and don't need it except for liability insurance on my truck.
they'll mandate electric cars, but you can't get insurance with an electric vehicle in your house, or a power wall in your garage, because they burst into flames. that's the future. you loose
Thats what crime does. Its destroys everything. Take oakland for instance. 85 percent of occupants have experienced theft. That level of crime is simply unaffordable to insure. The voters should have know better than to elect pro criminal politicians. This is what happens when masses of people go completely insane and vote to protect criminals drug addicts and illegals.
No. These large premium jumps are mostly being caused by CA, and a select few other DOIs not approving earned rate increases for insurers over the last few years at all, or in a timely manner. Insurers have been running at a loss while waiting for DOI approval. Inflation, logistics issues, etc, have made loss costs skyrocket, forcing carriers to make tough choices (both rate and non-rate). As the DOIs start to work through rate applications, instead of a slow adjustment, which would be normal, policyholders are getting slammed with big jumps. The carriers, for the most part, rushed to the DOIs for rate increases so they could maintain rate adequacy (i.e. not loose money) and have continued to pressure the DOIs to approve rate. This has nothing to do with insurers being greedy and everything to do with commissioners not doing their jobs.
@@PS_____ Thanks for the explanation. I don’t think changing the commissioner is going to change the rate increases now. Prices are getting higher and higher for essentials of a lot of goods and services. Wages isn’t going up either
And remember as the always say "when California does it, the rest of the nation will follow". This nation will be completely destroyed by corporate power and influence if something isnt done to stop it soon.
Insurance companies make most of their money investing the premiums. The government printing money caused inflation which devalued those investments. The company's have no money left to pay claims so their asking for upfront payments to pay claims of previous customers. Most states are seeing double digit rate hikes. CA is screwed because the commission is trying to prevent these hikes. Insurers must take in more than they pay out or they can't pay claims. The hikes must happen and/or Washington must stop printing money.
Blaming the insurance companies because they can't change rates because of a government agency put in place by the voters. It takes some real stubborness to continue to think that there isn't a causal relationship there.
The rest of the country should not have to pay for the hardships in California. Homeowners KNEW that this was always possible, I do not expect to pay more for my homeowners here in Virginia because of someone elses home in CA. Im not saying this to be mean spirited as we all need to help one another, but I do feel that this issue needs to be a California issue only. Im sorry that your 3 million dollar home built on a cliff on a fault fell through.
Insurance doesn't pay for ground movement. Earthquakes are an expensive option, mudslides and mostly not covered. Wildfires are big bucks to insurance companies. The vegetation in CA is designed by nature to burn regularly. 20 to 30 years. Fires have been suppressed for over 100 years. That fuel is building up more every year. People living in fire prone areas need to assume their own risk. People living on the coast need to assume their own risk too. Policy pricing should reflect the risk of the property that's being insured.
@@chris8535 To a point, we help pay for each other. Until we pay for the same places over and over again. Every 15 years we are paying for a new beachhouse for Mr. Smith. Tornadoes n it comes to hurricanes, we know they hit certain areas pretty regularly. Houses need to be built better for local conditions. Like having a flammable roof in forest fire areas.
Every other year we see a hurricane in Florida wipe out a sea side city and the replacement cost is spread to all the other insurers the company covers. Sick of paying for someone else's choice to build on the beach or brush covered mountain slope.
I moved from CA to Idaho in 2018. My cost to insure 2 cars with very good coverage went from about $950 per 6 months with Geico, to $550 with Geico.... including increased coverage levels.
It's crazy how people defend the insurance companies. At the end of the day these companies want unlimited profits, constant growth, and none of the losses.
Where does all their money go? Or am I to believe that investing in insurance stocks is the hidden secret to abnormally large investing success? Also, any of these companies could underbid the greedy companies and take all of the business. Neither of those things are true. I don't think that any abnormal profit taking or conspiracy is happening.
@@vuaeco That would be hilariously ironic for the people who actually did that and are now facing $1000 a month homeowner insurance premiums, which will of course be cancelled the next Cat 3 that rolls through.
It's unfortunate that people aren't seeing the bigger picture. In 2008 subprime loans collapsed the economy. It didn't happen suddenly it was built up over time and even though they were causing problems along the way nothing big happened until suddenly too many mortgages went bankrupt at the same time. We're starting to see the exact same thing in insurance policies and when something massive happens (as has been happening more recently) it will likely pop a bubble that's been forming for a decade.
I attended Commissioner Laura’s see the union on June 21. It was an absolute joke! The DOI refused to take responsibility for the insurance crisis that they helped create.
As an auto insurance broker for 20 years 1:53 to 2:31 is absolutely correct. After the pandemic people started driving in droves, accidents occurred, inflation affected prices of car parts. Insurance companies weren't able to keep up with the losses incurred, requested a rate change to the DOI and the DOI sat there and did nothing! Insurance companies were forced to change their policies because of the DOI's inaction. The DOI finally approved rate changes after 3 years. Things will gradually get back to normal, albeit with higher rates.
We should have never been taking the burden of the insurance, that banks should be because they own the homes. Same goes for car insurance. If the banks own the cars we should not be taken all the burden, they should be self insured till a certain point.
The banks loaned you money so you could buy the home. They put a lien on the home in case you default and don’t pay them back, then they can take the home to sell and get their money back. But they don’t own the home: you do. The insurance is for if something happens to the home, then the insurance pays to fix the home so that it’s in good condition again to either live in, or sell to pay the bank back. The banks already loaned you a bunch of money to buy the home, so they’re saying “hey the least you can do is buy insurance so you can pay us back if something happens to the home”. Why would the bank give you a mortgage AND pay for insurance? Then it’s like you’re not responsible for anything. Same concept for cars
@@jg8115 No one in the US owns their home or property. You rent it from the government. Whether you have a mortgage or not, if you get behind in your taxes, who do you think gets the home.
@@jmazz1127What you wrote is wildly inaccurate. If you don’t pay your taxes on a home you own outright, your home gets sold. Some of that money goes to pay the taxes, but the rest is given to you.
we have AIS (mercury ) and last month our rate for our 2 cars went up $500 bucks. p/year , thank god our home insurance is still stable , we live in riverside county but not near a fire danger area . a lot of the increases or pulling of coverage are in Fire prone areas.
Insurance companies get a bad rap, but they are businesses like any other. When the profit dries up, businesses move to greener pastures. During an era of 10% annual inflation, insurance companies need to raise rates in order to keep up with claims. Slow government bureaucracies in charge of approving rate increases is going to stifle growth. Harvey Rosenfield may be a "consumer watchdog", but he has a conflict of interest when it comes to Prop 103. Florida and Texas have had COSTAL areas dropped due to an increase in hurricanes... but California gets 0 hurricanes. No insurance company has also entirely exited the states of Florida and Texas either, which further undermines his claim. No company would leave a profitable market... obviously California is no longer profitable, so the companies are leaving and they should until the over-regulations are dropped!
Don’t blame state farm ! Its California’s fault for making crime legal and allowing renters to not pay rent and street camp that has made San Francisco crime central. I had two cars stolen, 5 bikes, catalytic converter cut , numerous car window broken, burglaries. I moved !
Insurance companies want a piece of pie 2 in the name of inflation but CA insurance commissioner stopped them so insurance companies pull tricks forcing CA commissioner to approve rate hikes for them.
This is all true, and in addition companies won’t touch you if you have any claims in last 5-7 years. Shame on me as a consumer for actually using my insurance for what it is for. Insurance companies are looking for any excuse to drop CA customers, and you won’t be able to find a new company to pick you up because of same issue (late payment, claims, etc). CA government needs to resolve this quickly or it will be another 2008 situation.
Sold my home and left Cali in 2016. Best decision I’ve made. Living in a constitutional State. Cheap insurance, no smogging, registration is sooooooo inexpensive. Very little crime. Weather is perfect. Yeah, good luck all of you in Cali. It used to be such a great state and run well. Now, it’s insane.
I left Ny in March 22. Will never move back. No state car inspection. Insurance dipped to reasonable rate per month. Car registration is reasonable too
@@tjts1 When it’s time to sell, who’s gonna buy your Mcmansion when everything now is expensive and a lot of people are losing their jobs and wages are not keeping up with inflation. Also, weather damages on properties are decreasing the marketability of those properties. Increased crimes/violence/drugs also “add insult to injury.” California is also due for a major earthquake soon they say. Who the hell would want to live there? Even when there’s no earthquake nor rain, the earth under some of the houses is moving (latest Cali news say that more houses are being tagged in the Rolling Hills area because of the landslide). How about the huge influx of unwanted illegal immigrants that cross the borders almost everyday that can exhaust California’s Social Services benefits. Another big turn off in Cali are the HUGE TAXES except for real estate property tax because of the property tax control but what you don’t realize is that the state and local government are not stupid so if they lose some on one end, they’ll take it back on the other end that’s why all the other taxes are so high like your income tax, gas taxes, etc. and the cost of living there is so high. How about the HOMELESS people that keep on multiplying because other states are throwing them there. Man, you guys there seem to be having a blast of a party LOL! Wake up! Choose your leaders wisely, PERIOD!
Inflation, crime, lawlessness and fires. Try buying a pickup truck nowadays and Enjoy those insane prices. For now, I suggest keep your reliable vehicles forever. Do not upgrade vehicles.
If there’s money to be made, insurance companies will stay and insure it, but it is based on predictable modeling and rules. California is a high risk state with a hostile government. that said, Mutual companies have always had the best track record on customer service because they are owned by the policy holders.
Insurance is ORGANIZED CRIME. be late, cancelled, make a claim, they raise premiums, deductables double for no reason. Pay pay pay...little in return. No alturnatives, no way to change or they will cancel you. And you must have insurance by law....sounds like a criminal operation to me.
@@bertroost1675 inflation affects every aspect of industry. Mostly consumed is diesel fuel that is double to triple what it was pre biden. Also electricity insurance security costs have also nearly doubled since biden so there are very good reasons why prices are so high on everything . You havent seen anything yet. Next year you will be talking about when water was only three dollars a bottle and it was available everywhere. If your alive in 20 years your grandkids wont believe you when you tell them food was plentiful and we were all fat .
@@unebonnevieWith all due Respect you have no clue what you are talking about , This time it’s truly not the big bad Corporate greed , the current situation is a major F up
I think that insurance companies know there is going to wave of claims with civil unrest related property losses that will cause massive claims outside of the normal hurricane/tornado/flooding. The auto glass business must be good right now, hold my beer.....
Open borders, free and legal drugs, no law enforcement for actual crimes ... I guess it makes sense that the insurers would end up paying out more. Wonder if that might be related.
New vehicle prices have gone up from $30k to $48k in ten years . That's a 60% increase. Manufacturers discontinued smaller cars to produce bigger SUVs and trucks. Used car shortage led to more high prices. Dealerships markup popular models more than $10k. Then you add riots, street takeovers, car jackings, uninsured motorists and fires. Prices go up.
Moved from So Cali to Lake Havasu, Arizona. Car insurance cost is about 40% of last cost in Cali…..Cali is almost 2.5 times as much. Home insurance was double for smaller home !
That's insane ... My car insurance is $200 a month in CA for two 40k cars and my home is $1000 a month for a 1.5 million dollar home. I feel like the rates are reasonable. I am 37 and have never filed any claims for context.
No one seems to realize all the newer cars are rolling computers that if soaked or banged around are nearly unrepairable. It's no longer just a new panel, little body filler, and some paint.
@@rondye9398 You're correct. The electronics on some of these BEEMERS and ROVERS is absurd and overengineered, appropriate for some Cape Canaveral rocket launch. Plus there's a major shortage of auto mechanics.
@@rondye9398 explain to me why putting insurance on my 1996 Toyota Cresta or 1992 Laurel cost the same amount as my 2017 WRX than, I have them on storage insurance but putting them on the road is expensive and those do not have all the electronics. It’s just Florida has greedy insurance companies. When I was stationed in Kansas I have five cars full coverage for cheaper than my wrx
I don’t think people realize the goal of CA is to get rid of automobiles and push as many people into public transport. It’ll be a bumpy ride but we’ll see if their efforts are successful or not in a few decades
One more reason to leave California. I was shocked when arriving here in 2012. My monthly home owners, required for a mortgage, was what I was paying annually in Missouri for a home twice the size.
i seem to be having no problem with insurance for anything, my car insurance actually went down this year. i live in coastal washington, i don't understand? this said nothing as to why?
How is it that these Insurance “business-people” don’t seem to understand business risk - particularly insurance risk? To suggest that insurance companies asking for entire premiums up-front to mitigate their risk is a form of red-lining is, well, ignorant. Anyone read a newspaper or look outside your door over these past years to see fires and floods? Wanna guess where the money to pay off those claims come from? People, pls use your brains or whatever you might have in its place.
Even worse, when I hear that my car insurance rates on the west coast are going up because insurers lost money on the east coast's hurricane season. What do I have to do with the east coast hurricanes please? Have THEM on the east coast pay higher premiums. Next thing we know, we are to pay higher premiums for insurers losses abroad as well? Something else and not many people may know about it, but insurance rates have been going up STEEPLY because of the ride sharing insurance scheme as well. Ride sharing would not exist, if they had to pay commercial insurance for passenger transport. Such insurance is expensive, because the coverage is high. It can cost easily $1000 per month for a single vehicle. However, ride sharing services do not pay that! Instead they are offered 'ride share insurance', which is noting less than a scheme to get them into discounted rates at the expense of other insured drivers. Geico was the first one to offer this scheme. Coincidentally Geico's parent company, Berkshire Hathaway, has been an large investor in ride sharing services as well! So they seem to be subsidizing one part of their business with another one, while offloading the costs of their subsidies to their insured drivers.
By the way, I checked you channel and I am a huge fan of Lyle Lovett as well. I don't know the new songs, because a while ago I have lost most of my hearing. But I still have many of the older songs in my head as I used to listen to them so often. "Step Inside this House" is in my opinion the best ever - if there is such thing with Lyle Lovett, simply because he has so many best ever songs. "Walk through the Bottomland" is another melancholic favorite of mine. But I find the entire "Anthology 1" album beyond great. It is rare for a musician to have so many great songs in one Album and the "Anthology 1" is certainly one of those. If you are on the Lyle Lovett course, you might like Alison Kraus & Union Station as well. They have a beautiful Album called "New Favorite" and the song "Crazy Faith" is just great, her voice so clear and so beautiful, I will never forget that. Again, I can never hear that again... ...almost tearing up, I better stop now.
@@mrtopcat2 I’ve had the pleasure of seeing Lyle live thrice over the years most recently Saturday evening. Fantastic. Talking of coming close to tears are his songs ‘If I hard a boat’, ‘North Dakota’, and without question ‘12th of June’. Alison is great as well but Lyle cuts right through. Well wishes…
What did people think was going to happen? Government over regulation is running the insurance companies out of town. A plumber doesn’t need approval from the government to raise his hourly rate so why should insurance companies.
People don't understand how insurance works. 1. You collect enough money to cover a few issues/disaster, not all of your contract holder 2. You do risk analysis 3.Context: Fire, flood, rampant shoplifting, fraud
Also you’re required by law to have insurance for your car and everyone’s mortgage requires homeowner’s insurance. You’re not required to use a plumber every month…
The biggest factor is the high price of new and used cars. Then you add fires, jackings, racing, takeovers, drunks and riots. Insurance company goes bankrupt if regulations prevent them from raising prices.
Telling people to contact the insurance commissioner is a crap answer by the Deputy Insurance Commissioner. I’ve done that. The insurance commisioner cannot make insurance companies do squat. I got a letter from the insurance commissioner telling me that dropping my coverage (no fault on my part) was the insurance companies ed, right to do so. Why did I waste time. Why does anyone need to waste their time. Big business rules, little people get screwed, and eelected officials work for big business.
As someone who works in the auto insurance industry. Be ready for ur car insurance to go up.. significantly..! I blame the shady non direct repair shop
Typical CA repercussions. Poor babies. My wife and I were raised and lived there for decades. Maybe the residents will wake up? You're already screwed jack...
We moved away from CA 18 yrs ago when our employer transferred us. We waited to retire back home in CA. Now we can’t-no fire insurance and too expensive auto coverage. We are broken hearted . We’ll vacation there visiting our families that are still there. Hope it will change but know it won’t 😢
Government overreach and ineptness comes at a high price. This and an out of control crime / homeless problem will be what Gavin and his cronies are remembered for.
Not to mention crime. Park a car somewhere in any large city in cali and it will be broken into. Insurance companys will not pay for bad decisions made by voters. Then open a business and yes you will be broken into. Its crime thats killing cali and other leftist areas as well.
Hurricanes in Florida and Texas are costly and occur every year. Same with wildfires in California. And I am sure there is no shortage of scammers in each state. Just pay your premiums on time and hope for the best. Otherwise , you might consider moving.
What people aren't being told - California has rate controls, the companies cannot increase rates to meet current costs provide coverage.
Just like any other business, if you are not allowed to operate without loosing money, you get out of the market.
People just prefer to be emotional and outraged.
That isn't the full story either. Insurance is a gamble by both parties. The insured is gambling they will need the policy. The insurance company is gambling they won't. Both are gambling. Right now insurance companies are taking it in the teeth after decades of being on the correct side of the bet in the US. Well, sometimes the gamble is a loss. California has a law which says they cannot change the terms of the bet without approval. It's not a good law exactly, but it's not a bad law either to regulate the casino. Because I'm in the rest of the US and they've unilaterally changed my policy. For decades insurance companies were some of the highest margin performers in the US. Instead of saving for a year when the outcome of all their gambles could go against them they spent lavishly. They lobbied to have the amount of money they had to keep on hand to cover bad bets to go down so they could spend more lavishly. So now we're in a bad year and they don't have the money to pay out. Well. F them. This is the consequences of getting the laws past at the federal level that they wanted. Pray for rain gotta deal with the mud. They can suck it up for a few years and build savings to cover bad years up to what they should actually have always been. We didn't create this problem. They did. And now we have to bail them out.
Climate change. Insurers are pulling out of Florida and Texas too.
@@halycon404
I like what you wrote, but 2 things to clarify:
1. Insurers have a large nest egg. For example State Farm has $130B
2. Climate change is changing the parameters of the bet. That’s not the insurers fault, that’s the republicans fault, so why should the insurers pay for the republicans stupidity? And for the voters bad choices?
@@halycon404 Actually both parties created the problem. People have continued to build homes in areas that are prone to floods, hurricanes, tornadoes, etc.
My auto insurance rate jumped by 43% overnight despite 20 yrs of flawless record with the same insurance company. Unfortunately shopping around doesn't help since quoted price from competitors are even higher
We are in the same boat. Used to pay less than half up until about 5 years ago.
Uninsured drivers are spiraling up the costs. They cause MORE damage and thereby higher rates and higher rates cause more uninsured drivers ... and the circle goes on. Believe it or not, but in most European countries there are almost no uninsured drivers. They have a smart system of automatic flags and enforcement. If they can do it, why can't America do it? It is just a matter of will.
very sorry to hear. Mine went up 15% and I was already screwed up
Same place here too
It jumped 100%. Totally great record. Suddenly double. No good reason at all. Just the way things are nowadays
Everyone wondered how they were going to implement " You will have nothing and be happy" Now we know, we won't be able to insure our homes and auto's, and won't be able to finance them at respectable rates. If you can't finance them or insure them, you can't own them. They will suspend you license if you drive without auto insurance, and your lender won't allow you to own a home with a mortgage without insurance.
Don't buy new $80,000 pickups, buy something old reliable and cheap. I wish people had the freedom to build very small homes then you wouldn't have to worry (so much) about not having homeowners insurance.
@@bertroost1675 They can. Maybe not in Elysium, but most of the other places in the country. For now. Read about the Cathari and elitism.
@@liberals_destroy_everythin2497 But I'm not talking about them. I am talking about people that work, make money but don't want or have to spend so much on a decent home. No, I am not a leftist.
Move to a better state, like West Virginia. At least you can by food and car insurance there without getting robbed by roving bands of drug zombies.
@@bertroost1675 I agree with not buying $80,000 pickups. But good luck buying "something old, reliable, and cheap"in California. Chances are, 90% of the time, if someone is selling a used car for cheap, there's something seriously wrong with it. If a person had a reliable car, doubtful he'd sell it. I mean, have you ever heard a person say, 'This car is reliable as hell, cheap to maintain, never let me down. I think I'll sell it.'
I’m in Ohio and the housing market here over the last 7-8 years is unlike anything I’ve ever seen. Homes that were bought for $130K in 2015 are now being sold for $590k. I’m talking about tiny, disgusting, poorly built 950 square foot shit boxes in quite mediocre neighborhoods. Then you’ve got Better, average sized homes in nicer neighborhoods that were $300K+ 10 years ago selling for $750k+ now. Wild times.
A recession as bad it can be, provides good buying opportunities in the markets if you’re careful and it can also create volatility giving great short time buy and sell opportunities too. This is not financial advise but get buying, cash isn’t king at all in this time!
On the contrary, even if you’re not skilled, it is still possible to hire one. I am a project manager and my personal portfolio of approximately $750k took a big hit in April due to the crash. I quickly got in touch with a financial-planner that devised a defensive strategy to protect and profit from my portfolio this red season. I’ve made over $350k since then.
@@hunter-bourke21 I've been thinking of going that route been holding on to a bunch of stocks that keeps tanking and I don't know if to keep holding or just dump them, do think your Fin-coach could manage my portfolio-restructuring as i wouldn’t mind a recommendation.
Camille Alicia Garcia, is my portfolio-coach, I found her on Bloomberg where she was featured, I googled her name on the internet. Fortunately I came across her website and reached out. You can go verify yourself.
I greatly appreciate it. I'm fortunate to have come upon your message because investing greatly fascinates me. I'll look Camille up and send her a message. You've truly motivated me. God's blessings on you.
I fired Allstate Insurance about 8 years. ago. Heres my story: Im now 76, had Allstate since I started driving at 16, owned my first home at 23 and had both homeowners and auto for 2 cars. Moved 2 more times and each time took Allstate with me. After more than 50 years I had my first minor auto claim ($1200.00). My first auto or homeowners claim mind you. No, I said no traffic violations. Not many people can say that. Well, to show their appreciation, they raised my rates significantly for a claim of $1200,00. I fired them, they had no customer loyalty at all. I was the one who did the right thing and waited for the owner to come out of the store after I scratched their door.
That taught me a lesson, just drive away, never do the right thing, you will be punished. Go to hell Allstate, insurance is a rip off anyway.
aaa did the same for me.. that is not loyalty.. that is business. you policy covers you for a year,, it doesn't cover what you did 30 years before..
That’s not even a traffic accident that would affect your driving record. Absolutely no reason to raise your rate.
Loyalty? Appreciation? Your living in different time. Hope you didn't think a handshake is legally binding
Buddy. Regardless of whatever you believe, these two things are true. One, causing over $1000 worth of damages will go on your record & bump up your rate with all insurance companies. Two, accident forgiveness is not allowed in California.
Your new car insurance company charged you for the accident as well.
@@southerncali88You hit somebody else’s car while their car is parked. Why the hell would that not count against you? That’s a traffic accident. You moved into a parked car.
Insurance companies, when the money is flowing in their direction then everything is good & happy but when the money flows the other direction you have to hire a lawyer to force them to do what they are supposed to do.
The median price of a home in California is over $700,000. Doesn't that make a difference in how much a policy costs?
The problem is the housing market is out of touch of reality. No one makes the amount of money to afford the prices they are charging for housing.
Did nobody notice the 'we used to be in your balls, Lenny, Christina Erik, Happy Father's day' mug 😂😂😂
Came here to find this comment! Hahaah
lmfao 0:54 props to the cameraman for focusing on the real story.☺
Scrolled down to find this comment
Love the family humor
This happened to me today. I missed a payment and was dropped. I called my broker who said the cheapest car insurance he could find for me was $635 per month. Pay your insurance and make sure to not miss a payment. This is not right.
Holy cow. I pay $450 for 6 months. But mine is only liability only, since it is MY CAR. There's no lien on it. I have the title.
Insurance companies do not like paying claims. I had two claims in two years from people hitting my parked car. Each claim was less than my yearly insurance premiums. But, the insurance company sent me a unhappy letter pointing out that two such claims was outside of the norm. No duh! That is the reality of providing insurance. Some events are outside of the norm...
Unless the damage was really severe, I wouldn't have even filled a claim. It's wrong, but insurance companies hold ANY claim against you, even claims that are not your fault.
@@AbcAbc-sp1od My premiums were unchanged. A lot of it has to do with your state's insurance regulations.
You should have said. Wahhhhh poor babies. I paid for something and used it.
Blaming the insurers is understandable--we all have insurance stories. But to blame them overall for an insurance crisis in one particular state is the easy way out. It is, basically, a competitive market. California needs to examine its own insurance laws that were intended to protect the consumer, but are having the opposite effect. Rules like those always seem to have unintended consequences.
BTW, at 5:12 you can see why insurance is needed in CA.
In short, insurance monopolies want less regulations. Florida is going through the same problems with these insurance companies.
They are offloading risk - any risk - to maximize profit. They only want premium payers. Wouldn’t be surprised if they are denying or slow-walking claims.
Everyone will get a taste of it before it's over ....there's lots of folks snickering behind their hands at the coastal insurance woes that won't be so happy in a couple years . Already started with tornado and flood policy coverages , will spread to exclusionary clauses for car insurance in areas deemed " unsafe " due to poor driving habits , crime , cost of living , you name it , the insurance companies will want a " special clause " or exclusion . They work quietly .....lots of sound bites and entertaining , feel good commercials while making the trip to each state capitol prior to the Legislative sessions to try to maneuver changes through the insurance regulations ....with the Holy Grail of Insurance always in view ...which is to be allowed to constantly depreciate an allowable claim to the actual cash value of the repair or loss . Basically wanting to always be allowed to pay about 30 cents on the dollar for a " covered loss " . It's coming
The problem here in Florida is that it originates from crooked lawyers and scam roofing companies. They were going hand-in-hand into litigation against home insurance companies, and companies got tired of being drained over bogus claims. Slowly, our lawmakers are implementing changes.
Insurance is a business and businesses have to make money.
Amazon will step in to solve your problems
The California economy is based on almost everyone driving a car. If auto insurance becomes unavailable, the state will be forced to repeal the mandatory insurance law.
in canada its 500 a month
Yikes! But when the economy is imploding crazy things will be done.
Yet my homeowners insurance went up $250 due to the wild fires here in California, now the insurance companies stop insuring people's homes. So they can "take the money and run"? Thanks Ricardo Lara for approving those rate hikes!
This problem predates the current Insurance Commissioner. Fixing this needs to be a priority for the State of California.
No. You need to move out of that state. That will fix your problem.
@@saintpreferred9223 if you vote democrat you need to stay and deal with the mess you created
You insinuating another bailout
I don’t know who liking this comment because they clearly didn’t watch the video. It’s ALL on the commissioner’s office. 3 years of doing nothing about rates.
@@justSTUMBLEDupon just 3 years.. has it been that long since the last bailout
California thinks "consumer protection" is soak the insurance companies. It's the same mind-set that maintains moratoriums on evictions from rental properties and has for over three years.
Received a quote today from Allstate auto insurance, and it's a bit disheartening - a little over $500 per month. I'm now 40, and the only blemish on my driving record is a rolling stop sign violation from when I was 19. It's frustrating to think about how insurance costs can prevent people from accessing essential transportation to get to work. It seems unjustifiable for insurance companies to impose such exorbitant prices, especially when they already rake in billions in profits. These practices feel unethical and should be subject to scrutiny. There has to be a better way to ensure fair and accessible auto insurance for everyone.
They should. That said, California’s legal system allowing people to sue in ways NOT allowed in other states means the liability is MUCH higher. Example: a wreck in Texas that’s IDENTICAL to one in California will cost less than half.
LMFAO I pay 75$ a month full coverage on my 2019 Tacoma. Although I left commiefornia and I’m in the Midwest! Keep voting blue no matter who sucka!
Likely it's because in California you are more likely to damage an EV than in just about any other State. Smack one very hard and it is totaled.
We live in a state not run by The State... a 2021 and 2016 Subaru with $250/500K full coverage. $120/month in full
Or could it be that the insurance companies are have to pay so much for all the repairs, thefts, lawsuits. That your $100 a month payments just can’t keep their heads above water.
Printing too much money eventually makes the whole thing unbalanced. Insurance companies are just adjusting to extremely stupid politicians
Bingo... What people didn't think it's more expensive to insure expensive assets.
@@michaelb4546 I saw my neighbor going on a shopping spree upgrading all their vehicles to big SUVs
That doesn’t even make sense when you’re comparing it to insurance lol
@@jeretsoyou think the insurance didn’t charge them the right price for it?
@@michaelb4546 I’m sure people are paying a bigger price, so why can’t insurance cover?
It’s all about profits
It began with Florida, but now California has joined the fray. I predict that insurance companies from various states will follow suit, prioritizing their own benefits whether justified or not. Unfortunately, the politicians seem content to sit back and take no action.
The cause of this situation is Prop 103 and the inaction of the CA Insurance Commissioner Ricardo Lara. Not allowing insurers to adjust their costs for increased reinsurance costs, high inflation, and outdated rate filing methods have resulted in this insurance market turmoil. Until the regulation is amended, there will be no end in sight to this crisis.
The new cartel.. california fair plan insurance will be thrust on all remaining inhabitants... STATE insurance.
I would say Prop 103 and climate change. Prop 103 wasn't a problem when there wasn't a drastic increase in risk of fire (via drought) and flooding and hurricanes from climate change. Now that those have happened Prop 103 is tying their hands to adjust prices to reflect the new reality of how expensive living in high risk areas is because rates have to be tied to historical trends even though we've pivoted off of the trend line. And the insurance commission which can act to grant large price increases to keep providing insurance viable in CA just aren't acting. Of course, the state can also help by ensuring more homeowners take fire safety precautions and the state takes more wildfire precautions, and that new construction doesn't happen in high risk areas.
Insurance companies go by your credit also if you haven’t paid your rent and your credit sucks insurance companies are starting to understand you are a bad risk
eligibility also includes time you have had insurance. if you bounce around, your rates gonna suck, to combat this, the agency I write for will no longer give you a shot if you havent had at least 12 months of continuous insurance. You also cant lapse for over 30 days and expect any rated company to take you on. Tac on all the other requisites these companies have, and at this point all people qualify for is pronto and amax
In some states, yes. Not in CA.
Something is definitely going on with Allstate. Got a letter in the mail from Allstate with only two weeks notice that I would have pay upfront 50% of my premium which was over a $200 jump on top of my regular payment amount for this July ! I called and asked why and was told it was a corporate reaction towards the company losing money on policies they overreached on. So now we the longtime good clients with no blemishes have to foot the bill to cover their calculated mistakes. Based upon how apathetic these California elected officials are acting it is easy to guess they are pocketed people by the insurance companies.
Do you even know how insurance works? Your not just covering your risk, your covering everyone's risk. Buy liability insurance for your car. Everything else should be self insured by your emergency fund. Don't have a mortgage. The borrower is slave to the lender. I only pay cash for everything I buy. And I am lower middle class. I don't have insurance, and don't need it except for liability insurance on my truck.
@@tira2145 All of thats fine up until an uninsured driver totals your vehicle, then you're SOL.
@@StaYUTI420 Not a problem. It's a 25 year old truck worth 750 dollars. I don't need anything better than that. Very easy to work on.
@tira2145 Have you seen the used car market lately? There's no such thing as a 750 dollar pre-owned vehicle.
@@serrahighsfinest I buy them all the time. Not from a dealership.
they'll mandate electric cars, but you can't get insurance with an electric vehicle in your house, or a power wall in your garage, because they burst into flames. that's the future. you loose
It’s not just growing. It suddenly doubled. If you paid $50 last year. It’s $100 this year. Will this be an exponential growth?
Thats what crime does. Its destroys everything. Take oakland for instance. 85 percent of occupants have experienced theft. That level of crime is simply unaffordable to insure. The voters should have know better than to elect pro criminal politicians. This is what happens when masses of people go completely insane and vote to protect criminals drug addicts and illegals.
No. These large premium jumps are mostly being caused by CA, and a select few other DOIs not approving earned rate increases for insurers over the last few years at all, or in a timely manner. Insurers have been running at a loss while waiting for DOI approval. Inflation, logistics issues, etc, have made loss costs skyrocket, forcing carriers to make tough choices (both rate and non-rate). As the DOIs start to work through rate applications, instead of a slow adjustment, which would be normal, policyholders are getting slammed with big jumps.
The carriers, for the most part, rushed to the DOIs for rate increases so they could maintain rate adequacy (i.e. not loose money) and have continued to pressure the DOIs to approve rate. This has nothing to do with insurers being greedy and everything to do with commissioners not doing their jobs.
@@PS_____
Thanks for the explanation. I don’t think changing the commissioner is going to change the rate increases now. Prices are getting higher and higher for essentials of a lot of goods and services. Wages isn’t going up either
I have had USAA for over 30 years and will never change
All industries are gouging customers these days because no one will push back on them.
And they own our politicians… who are elected to protect _us_ in the first place.
I've always hated insurance, and have a little as I can get away with throwing money
easy. you don’t need insurance. just put up a bond with the department of insurance.
Good plan, just put money in a fund to save for possible claims. Insurance is out of control.
@@mtunofun1how do you do that? For home or car?
@@haveaniceday7950 only applies for the car since liability is legally required. Just google how to put up bond for auto insurance liability.
Slowly I think the end goal is for Californians to be as reliant and milked as possible by the government and larger corporations with safety nets.
Indeed. Talk about entitlement. It seems these people want to be put back in the safety of the governments womb. People have gotten too freaking soft.
@@bhagmeister complete social engineering. No one wants this and our government does not work for us.
@@bhagmeisterthis is nonsense, the “governments womb?” Lol what?
Democrats running this state will do that!
And remember as the always say "when California does it, the rest of the nation will follow". This nation will be completely destroyed by corporate power and influence if something isnt done to stop it soon.
0:45 the we “We used to live in your balls coffee mug” says it all 🤪🤣
How closely is the insurance market being supervised for solvency?
Insurance companies make most of their money investing the premiums. The government printing money caused inflation which devalued those investments. The company's have no money left to pay claims so their asking for upfront payments to pay claims of previous customers. Most states are seeing double digit rate hikes. CA is screwed because the commission is trying to prevent these hikes. Insurers must take in more than they pay out or they can't pay claims. The hikes must happen and/or Washington must stop printing money.
Blaming the insurance companies because they can't change rates because of a government agency put in place by the voters. It takes some real stubborness to continue to think that there isn't a causal relationship there.
Will California ever stop being California? I think the people that live there think that place is sane
The rest of the country should not have to pay for the hardships in California. Homeowners KNEW that this was always possible, I do not expect to pay more for my homeowners here in Virginia because of someone elses home in CA. Im not saying this to be mean spirited as we all need to help one another, but I do feel that this issue needs to be a California issue only. Im sorry that your 3 million dollar home built on a cliff on a fault fell through.
Insurance doesn't pay for ground movement. Earthquakes are an expensive option, mudslides and mostly not covered.
Wildfires are big bucks to insurance companies. The vegetation in CA is designed by nature to burn regularly. 20 to 30 years. Fires have been suppressed for over 100 years. That fuel is building up more every year.
People living in fire prone areas need to assume their own risk. People living on the coast need to assume their own risk too. Policy pricing should reflect the risk of the property that's being insured.
This is literally how insurance works - are you daft? We all pay for eachother.
“I’m not paying for your hurricanes and tornados”
@@chris8535 To a point, we help pay for each other. Until we pay for the same places over and over again. Every 15 years we are paying for a new beachhouse for Mr. Smith. Tornadoes n it comes to hurricanes, we know they hit certain areas pretty regularly.
Houses need to be built better for local conditions. Like having a flammable roof in forest fire areas.
Every other year we see a hurricane in Florida wipe out a sea side city and the replacement cost is spread to all the other insurers the company covers. Sick of paying for someone else's choice to build on the beach or brush covered mountain slope.
I moved from CA to Idaho in 2018. My cost to insure 2 cars with very good coverage went from about $950 per 6 months with Geico, to $550 with Geico.... including increased coverage levels.
bc there are no cars in Idaho
It's crazy how people defend the insurance companies. At the end of the day these companies want unlimited profits, constant growth, and none of the losses.
Unhuh
Where does all their money go? Or am I to believe that investing in insurance stocks is the hidden secret to abnormally large investing success?
Also, any of these companies could underbid the greedy companies and take all of the business.
Neither of those things are true. I don't think that any abnormal profit taking or conspiracy is happening.
this is what happens when you have price controls.
if i became uninsurable i would simply MOVE
To where? Florida?
Not if you own a home you won't.
Must be rich
So simple
@@vuaeco That would be hilariously ironic for the people who actually did that and are now facing $1000 a month homeowner insurance premiums, which will of course be cancelled the next Cat 3 that rolls through.
It's unfortunate that people aren't seeing the bigger picture. In 2008 subprime loans collapsed the economy. It didn't happen suddenly it was built up over time and even though they were causing problems along the way nothing big happened until suddenly too many mortgages went bankrupt at the same time. We're starting to see the exact same thing in insurance policies and when something massive happens (as has been happening more recently) it will likely pop a bubble that's been forming for a decade.
xlnt point . If you can't get Homeowners Insurance you can't get a mortgage . if you can't buy/sell your Home , the Market will collapse .
Former head State Insurance commissioner John Garamendi is now a congressman. He is never short of money!
I attended Commissioner Laura’s see the union on June 21. It was an absolute joke! The DOI refused to take responsibility for the insurance crisis that they helped create.
As an auto insurance broker for 20 years 1:53 to 2:31 is absolutely correct. After the pandemic people started driving in droves, accidents occurred, inflation affected prices of car parts. Insurance companies weren't able to keep up with the losses incurred, requested a rate change to the DOI and the DOI sat there and did nothing! Insurance companies were forced to change their policies because of the DOI's inaction. The DOI finally approved rate changes after 3 years. Things will gradually get back to normal, albeit with higher rates.
We should have never been taking the burden of the insurance, that banks should be because they own the homes. Same goes for car insurance. If the banks own the cars we should not be taken all the burden, they should be self insured till a certain point.
Lol. Its funny how completely clueless so many people are. Im not going to even try to help you understand how reality actually works.
The banks loaned you money so you could buy the home. They put a lien on the home in case you default and don’t pay them back, then they can take the home to sell and get their money back. But they don’t own the home: you do.
The insurance is for if something happens to the home, then the insurance pays to fix the home so that it’s in good condition again to either live in, or sell to pay the bank back. The banks already loaned you a bunch of money to buy the home, so they’re saying “hey the least you can do is buy insurance so you can pay us back if something happens to the home”. Why would the bank give you a mortgage AND pay for insurance? Then it’s like you’re not responsible for anything.
Same concept for cars
@@jg8115 you make perfect sense. He will never understand.
@@jg8115 No one in the US owns their home or property. You rent it from the government. Whether you have a mortgage or not, if you get behind in your taxes, who do you think gets the home.
@@jmazz1127What you wrote is wildly inaccurate. If you don’t pay your taxes on a home you own outright, your home gets sold. Some of that money goes to pay the taxes, but the rest is given to you.
we have AIS (mercury ) and last month our rate for our 2 cars went up $500 bucks. p/year , thank god our home insurance is still stable , we live in riverside county but not near a fire danger area . a lot of the increases or pulling of coverage are in Fire prone areas.
Insurance companies get a bad rap, but they are businesses like any other. When the profit dries up, businesses move to greener pastures. During an era of 10% annual inflation, insurance companies need to raise rates in order to keep up with claims. Slow government bureaucracies in charge of approving rate increases is going to stifle growth. Harvey Rosenfield may be a "consumer watchdog", but he has a conflict of interest when it comes to Prop 103. Florida and Texas have had COSTAL areas dropped due to an increase in hurricanes... but California gets 0 hurricanes. No insurance company has also entirely exited the states of Florida and Texas either, which further undermines his claim. No company would leave a profitable market... obviously California is no longer profitable, so the companies are leaving and they should until the over-regulations are dropped!
Thank you, Gavin newsom. Let's make him president
Ok
@@sdigf3167 bwahhhhhh ha ha ha ha ha
Are there any politicians or bureaucrats out there who are actually capable of doing their jobs?
No.
NO
Don’t blame state farm ! Its California’s fault for making crime legal and allowing renters to not pay rent and street camp that has made San Francisco crime central. I had two cars stolen, 5 bikes, catalytic converter cut , numerous car window broken, burglaries. I moved !
Insurance companies want a piece of pie 2 in the name of inflation but CA insurance commissioner stopped them so insurance companies pull tricks forcing CA commissioner to approve rate hikes for them.
Illegal for a upfront payment? Go to McDonald's and ask for your food without paying upfront. Good luck.
Costco has also pulled out and no longer is issuing new policies in California
I own a manufactured home. Insurance is 800.00 a year, no fire, no earthquake. When hubby passes, I will have to sell it...
Why?
Maybe I missed it but how many companies have left California? The reporter said by “droves” but only mentioned 2.
I've been saying the insurance and banking industry is going to starve the economy because of the greed associated with home sales and auto sales.
That WE USED TO LIVE IN YOUR BALLS CUP!!!!! 😂😂😂😂😂😂😂😂 FREAKING MEDIA!!! GOLD!!!
It's not the insurance company's fault. It's the State of California that ignores crime and increases risk
This is all true, and in addition companies won’t touch you if you have any claims in last 5-7 years. Shame on me as a consumer for actually using my insurance for what it is for. Insurance companies are looking for any excuse to drop CA customers, and you won’t be able to find a new company to pick you up because of same issue (late payment, claims, etc). CA government needs to resolve this quickly or it will be another 2008 situation.
The Commissioner needs to be voted!
Sold my home and left Cali in 2016. Best decision I’ve made. Living in a constitutional State. Cheap insurance, no smogging, registration is sooooooo inexpensive. Very little crime. Weather is perfect. Yeah, good luck all of you in Cali. It used to be such a great state and run well. Now, it’s insane.
No one believes you.
Are we expected to know where you live?
@@mikemassino Somewhere that isn't run by Democrats. Democrats abhor the constitution because it prevents them from being openly racist.
I left Ny in March 22. Will never move back. No state car inspection. Insurance dipped to reasonable rate per month.
Car registration is reasonable too
@@tjts1 When it’s time to sell, who’s gonna buy your Mcmansion when everything now is expensive and a lot of people are losing their jobs and wages are not keeping up with inflation. Also, weather damages on properties are decreasing the marketability of those properties. Increased crimes/violence/drugs also “add insult to injury.” California is also due for a major earthquake soon they say. Who the hell would want to live there? Even when there’s no earthquake nor rain, the earth under some of the houses is moving (latest Cali news say that more houses are being tagged in the Rolling Hills area because of the landslide). How about the huge influx of unwanted illegal immigrants that cross the borders almost everyday that can exhaust California’s Social Services benefits. Another big turn off in Cali are the HUGE TAXES except for real estate property tax because of the property tax control but what you don’t realize is that the state and local government are not stupid so if they lose some on one end, they’ll take it back on the other end that’s why all the other taxes are so high like your income tax, gas taxes, etc. and the cost of living there is so high. How about the HOMELESS people that keep on multiplying because other states are throwing them there. Man, you guys there seem to be having a blast of a party LOL! Wake up! Choose your leaders wisely, PERIOD!
Inflation, crime, lawlessness and fires. Try buying a pickup truck nowadays and Enjoy those insane prices. For now, I suggest keep your reliable vehicles forever. Do not upgrade vehicles.
What? Expect and overpaid, underworked California bureaucrat to do his job? How insensitive.
Change is NEEDED
If there’s money to be made, insurance companies will stay and insure it, but it is based on predictable modeling and rules. California is a high risk state with a hostile government. that said, Mutual companies have always had the best track record on customer service because they are owned by the policy holders.
Reason #1902384 why designing cities that force you to own a car is a bad idea
Every one should move out of California
Insurance will always be higher in California due to the threat of fires and earthquakes.
Earthquake coverage is not covered in any single home insurance company . You need to add a CEA policy in California if you want that covered.
compared to other locations with Hurricane, Tornadoes, Snow Blizzards ,,,Dude drink coffee and wake up
Insurance is ORGANIZED CRIME. be late, cancelled, make a claim, they raise premiums, deductables double for no reason. Pay pay pay...little in return. No alturnatives, no way to change or they will cancel you. And you must have insurance by law....sounds like a criminal operation to me.
Every business is price gouging now. Pretty soon no one can afford any kind of insurance anymore.
EXACTLY! These insurance companies are playing hard ball on behalf of their greed! They play being a victim!
Crime and inflation affect profits and the industry needs to adjust to keep profits at an acceptable level .
Almost $3 for a bottle of water!
@@bertroost1675 inflation affects every aspect of industry. Mostly consumed is diesel fuel that is double to triple what it was pre biden. Also electricity insurance security costs have also nearly doubled since biden so there are very good reasons why prices are so high on everything . You havent seen anything yet. Next year you will be talking about when water was only three dollars a bottle and it was available everywhere. If your alive in 20 years your grandkids wont believe you when you tell them food was plentiful and we were all fat .
@@unebonnevieWith all due Respect you have no clue what you are talking about , This time it’s truly not the big bad Corporate greed , the current situation is a major F up
Thank you Gavin!! You’ve done so much 😊
But if you say that to died in the wool Democrats they will say it’s anybody else’s fault but the Democrats.
And so much more is left to be done.
@@drsrsv8884 the two are polar opposites. Wtf are you talking about ?
how has no one mentioned the man's coffee cup @ 0:55
That’s awesome
I think that insurance companies know there is going to wave of claims with civil unrest related property losses that will cause massive claims outside of the normal hurricane/tornado/flooding. The auto glass business must be good right now, hold my beer.....
Yep! Predictive models reflect absolute turmoil in near future escalations. 100% facts!
@@user-uo4rf4ez8cwho’s prospective models? Source?
Open borders, free and legal drugs, no law enforcement for actual crimes ... I guess it makes sense that the insurers would end up paying out more. Wonder if that might be related.
No, that's not it.
New vehicle prices have gone up from $30k to $48k in ten years . That's a 60% increase. Manufacturers discontinued smaller cars to produce bigger SUVs and trucks. Used car shortage led to more high prices. Dealerships markup popular models more than $10k. Then you add riots, street takeovers, car jackings, uninsured motorists and fires. Prices go up.
Insurance is a scam
Moved from So Cali to Lake Havasu, Arizona. Car insurance cost is about 40% of last cost in Cali…..Cali is almost 2.5 times as much.
Home insurance was double for smaller home !
Again, why did anyone think all these micro managing laws in California would not have consequences?
Screw em. !! Nobody pay insurance rates. They will come crawling back
My car insurance is 600$ a month for one car here in Florida, my car payment is 80$ more. Sucks to see this happening in California now too
Jesus Christ! That's insane! How can they even justify that?
That's insane ... My car insurance is $200 a month in CA for two 40k cars and my home is $1000 a month for a 1.5 million dollar home. I feel like the rates are reasonable. I am 37 and have never filed any claims for context.
No one seems to realize all the newer cars are rolling computers that if soaked or banged around are nearly unrepairable. It's no longer just a new panel, little body filler, and some paint.
@@rondye9398 You're correct. The electronics on some of these BEEMERS and ROVERS is absurd and overengineered, appropriate for some Cape Canaveral rocket launch. Plus there's a major shortage of auto mechanics.
@@rondye9398 explain to me why putting insurance on my 1996 Toyota Cresta or 1992 Laurel cost the same amount as my 2017 WRX than, I have them on storage insurance but putting them on the road is expensive and those do not have all the electronics. It’s just Florida has greedy insurance companies. When I was stationed in Kansas I have five cars full coverage for cheaper than my wrx
Might be easier just to go without insurance and drive a bucket. F*ck the CA system, it's broken!
No. Driving w/o insurance is illegal.
I don’t think people realize the goal of CA is to get rid of automobiles and push as many people into public transport. It’ll be a bumpy ride but we’ll see if their efforts are successful or not in a few decades
One more reason to leave California. I was shocked when arriving here in 2012. My monthly home owners, required for a mortgage, was what I was paying annually in Missouri for a home twice the size.
State Farm cancellation’s are real
I have a perfect idea….make car and house insurance tax deductible
i seem to be having no problem with insurance for anything, my car insurance actually went down this year. i live in coastal washington, i don't understand? this said nothing as to why?
Tactical zoom @0:55
How is it that these Insurance “business-people” don’t seem to understand business risk - particularly insurance risk? To suggest that insurance companies asking for entire premiums up-front to mitigate their risk is a form of red-lining is, well, ignorant. Anyone read a newspaper or look outside your door over these past years to see fires and floods? Wanna guess where the money to pay off those claims come from? People, pls use your brains or whatever you might have in its place.
Even worse, when I hear that my car insurance rates on the west coast are going up because insurers lost money on the east coast's hurricane season. What do I have to do with the east coast hurricanes please? Have THEM on the east coast pay higher premiums. Next thing we know, we are to pay higher premiums for insurers losses abroad as well?
Something else and not many people may know about it, but insurance rates have been going up STEEPLY because of the ride sharing insurance scheme as well. Ride sharing would not exist, if they had to pay commercial insurance for passenger transport.
Such insurance is expensive, because the coverage is high. It can cost easily $1000 per month for a single vehicle. However, ride sharing services do not pay that! Instead they are offered 'ride share insurance', which is noting less than a scheme to get them into discounted rates at the expense of other insured drivers.
Geico was the first one to offer this scheme. Coincidentally Geico's parent company, Berkshire Hathaway, has been an large investor in ride sharing services as well! So they seem to be subsidizing one part of their business with another one, while offloading the costs of their subsidies to their insured drivers.
By the way, I checked you channel and I am a huge fan of Lyle Lovett as well. I don't know the new songs, because a while ago I have lost most of my hearing. But I still have many of the older songs in my head as I used to listen to them so often. "Step Inside this House" is in my opinion the best ever - if there is such thing with Lyle Lovett, simply because he has so many best ever songs. "Walk through the Bottomland" is another melancholic favorite of mine. But I find the entire "Anthology 1" album beyond great. It is rare for a musician to have so many great songs in one Album and the "Anthology 1" is certainly one of those.
If you are on the Lyle Lovett course, you might like Alison Kraus & Union Station as well. They have a beautiful Album called "New Favorite" and the song "Crazy Faith" is just great, her voice so clear and so beautiful, I will never forget that. Again, I can never hear that again... ...almost tearing up, I better stop now.
@@mrtopcat2 I’ve had the pleasure of seeing Lyle live thrice over the years most recently Saturday evening. Fantastic. Talking of coming close to tears are his songs ‘If I hard a boat’, ‘North Dakota’, and without question ‘12th of June’. Alison is great as well but Lyle cuts right through. Well wishes…
Welcome to Florida
My car insurance went up 60% outta nowhere
What did people think was going to happen? Government over regulation is running the insurance companies out of town. A plumber doesn’t need approval from the government to raise his hourly rate so why should insurance companies.
People don't understand how insurance works.
1. You collect enough money to cover a few issues/disaster, not all of your contract holder
2. You do risk analysis
3.Context: Fire, flood, rampant shoplifting, fraud
Also you’re required by law to have insurance for your car and everyone’s mortgage requires homeowner’s insurance. You’re not required to use a plumber every month…
No, that's not it.
The biggest factor is the high price of new and used cars. Then you add fires, jackings, racing, takeovers, drunks and riots. Insurance company goes bankrupt if regulations prevent them from raising prices.
@@jeretso insurance is rarely having to provide the purchase price for a new car compared to how often they end up paying for repairs…
What I don't understand is why anyone is doing business in California.
As a father. I need that cup at 5:31 😂
It's disgusting that someone's children think that way about their father. It says a lot about the father's style of parenting.
Telling people to contact the insurance commissioner is a crap answer by the Deputy Insurance Commissioner. I’ve done that. The insurance commisioner cannot make insurance companies do squat. I got a letter from the insurance commissioner telling me that dropping my coverage (no fault on my part) was the insurance companies ed, right to do so. Why did I waste time. Why does anyone need to waste their time. Big business rules, little people get screwed, and eelected officials work for big business.
As someone who works in the auto insurance industry. Be ready for ur car insurance to go up.. significantly..! I blame the shady non direct repair shop
Typical CA repercussions. Poor babies. My wife and I were raised and lived there for decades. Maybe the residents will wake up? You're already screwed jack...
They won’t.
Just don’t vote Democrat if you want to see improvement.
We moved away from CA 18 yrs ago when our employer transferred us. We waited to retire back home in CA. Now we can’t-no fire insurance and too expensive auto coverage. We are broken hearted . We’ll vacation there visiting our families that are still there. Hope it will change but know it won’t 😢
Government overreach and ineptness comes at a high price. This and an out of control crime / homeless problem will be what Gavin and his cronies are remembered for.
This is what happens when trash people have made false claims and trash real estate agents selling horrible homes in poor condition
Not to mention crime. Park a car somewhere in any large city in cali and it will be broken into. Insurance companys will not pay for bad decisions made by voters. Then open a business and yes you will be broken into. Its crime thats killing cali and other leftist areas as well.
very true. don’t make a claim. under a single claim, my home insurance is gone and can’t be reinstated
I feel like insurance are a scam and for the most part ends up destroying the invisible hand of the market
The insurance industry is one of the most regulated industries. The invisible hand is being manipulated by the government.
Never saw a refund check for zip code discrimination Prop 103.....
Hurricanes in Florida and Texas are costly and occur every year. Same with wildfires in California. And I am sure there is no shortage of scammers in each state.
Just pay your premiums on time and hope for the best. Otherwise , you might consider moving.