APCIA Applauds Court’s Decision that Will Protect California’s Insurance Market

Sacramento, CA - The following statement by the American Property Casualty Insurance Association (APCIA) is in response to Los Angeles Superior Court Judge Tiana J. Murillo's order upholding the California Department of Insurance's authority to issue two bulletins to protect consumers' access and stabilize the state's insurance market. Judge Murillo rejected a lawsuit filed by Consumer Watchdog. This statement can be attributed to Denni Ritter, APCIA Department Vice President for State Government Relations.

"We applaud the Court's decision rejecting the reckless lawsuit brought by the self- interested special interest group Consumer Watchdog-a critical victory for California homeowners and an important step toward stabilizing the state's fragile insurance market. This ruling preserves a vital tool to protect the financial stability of the California insurance market. Blocking cost recovery would have undermined the state's last-resort coverage option, jeopardized coverage for hundreds of thousands of homeowners, and made it harder to keep insurance available and affordable for Californians over the long term.

"Insurers remain committed to helping communities recover from the Southern California wildfires, having paid over $23.7 billion in claims so far, with tens of billions more expected, in addition to the assessments paid to support the FAIR Plan-despite not collecting premiums from FAIR Plan policyholders. Today's decision provides important legal certainty and reinforces the Department of Insurance's efforts to restore the market and protect consumers' access to coverage."