San Joaquin Times

WASHINGTON – On June 23, Rep. Josh Harder (CA-9) wrote to the head of the Treasury Department’s Federal Insurance Office (FIO) and raised the alarm on the decisions by Allstate and State Farm to stop selling new home insurance policies in California. In the letter, Rep. Harder pressed the FIO to outline how they will make sure California homeowners maintain access to affordable home insurance options.

“The Central Valley is a great place to live and raise a family and we need to keep it that way,” said Rep. Harder. “The decisions by Allstate and State Farm to stop issuing new home insurance policies in California could have devastating impacts on future home buyers and families who need new policies after a disaster. As our region continues to thrive and grow, we have to make sure families can protect their property and are not priced out of the communities they grew up in.”

Read Rep. Harder’s letter HERE and below.

June 23, 2023

Director Seitz,

I’m writing today regarding the recent decision of property insurers, Allstate and State Farm, to stop selling home insurance in California and the far-reaching impacts this will have on my community. While most of my constituents who already have home insurance policies will be able to keep them, this will undoubtedly play a major role in residents’ decisions to buy new homes and for people who are considering moving to our region.

As you know, California continues to be ravaged by natural disasters, such as flooding, wildfires, earthquakes, and mudslides. The recent state-wide floods resulted in a loss of five to seven billion dollars in property damage alone. This sort of damage is not an isolated incident. A March report presented to the San Joaquin County Board of Supervisors suggests that historic flooding along the San Joaquin River, which flows through my district, could cause upwards of one and a half billion dollars of damage and claim at least one hundred and sixty lives. 

My constituents rely on access to affordable insurance to protect their family and property. Decisions to stop insuring new homes also impacts future home buyers who will require insurance to acquire mortgages. As San Joaquin County continues to grow, we have to ensure our families are not priced out of the communities they grew up in.

In light of these concerns, I am requesting an update on how the Federal Insurance Office will ensure that my constituents continue to have access to affordable home insurance.

Sincerely,

Josh Harder

Member of Congress

Original source can be found here