SAN FRANCISCO (KRON) — Farmers Insurance announced Wednesday that it will expand coverage for California homeowners. Starting as soon as next week, the California-based insurance company said it would expand service to up to 2,500 more customers per month.
Farmers Insurance will accept up to 9,500 new customers per month for homeowner insurance policies in the state, increasing its previous number of committing to 7,000.
That expansion also includes policies for those living in condominiums and renters. Farmers claims that it is “one of the few insurance carriers that did not halt offering new homeowners insurance coverage in the state,” it said in a news release.
Farmers Home Insurance Expansion
- Farmers Condominium insurance (both, owner-occupied and those rented to others), will reopen for new customers effective December 14, 2024
- Farmers Renters insurance will reopen for new customers effective December 14, 2024;
- Farmers Personal Umbrella insurance will reopen for new customers effective December 24, 2024
- Foremost Manufactured Home Landlord insurance will reopen for new customers effective March 1, 2025
- Foremost Dwelling Fire Landlord and Dwelling Fire Vacant insurance will reopen for new customers effective March 15, 2025.
The news comes as fellow major insurance company, State Farm, announced it would be canceling thousands of policies for homeowners in California. Approximately 72,000 homeowners had their State Farm policies dropped this past summer. The announcement has increased concern for many Bay Area residents, including those in Orinda and Oakland.
In a press release from March, State Farm said why it decided to cut thousands of insurance policies. State Farm, the state’s largest insurer, cited rising home costs and the increasing risk of natural disasters, such as wildfires, as reasons.
“State Farm General Insurance Company is working to ensure its long-term sustainability in California,” State Farm said in part. “In doing so, State Farm General has had to make some difficult but necessary decisions that will impact a portion of our California policyholders.”
Allstate, one of California’s largest insurers, reportedly stopped offering new homeowner policies in 2023, according to The New York Times. In August, Allstate increased its California home insurance rates by 34 percent.
Liberty Mutual, through its subsidiary Safeco, still offers to a limited number of California homeowners, about 4.4% of all property policies in the state, according to the San Francisco Chronicle. Liberty Mutual is another major insurance company that has cut or limited its coverage for California homeowners.
However, Farmers was not free of controversy this year as a lawsuit was filed by Alameda County. In May, then-District Attorney Pamela Price filed a lawsuit against Farmers and other insurance companies, alleging they underinsured homes across California.
Farmers Insurance’s full announcement of expanded its policy coverage can be viewed in its press release.
SAN FRANCISCO (KRON) — Farmers Insurance announced Wednesday that it will expand coverage for California homeowners. Starting as soon as next week, the California-based insurance company said it would expand service to up to 2,500 more customers per month. Farmers Insurance will accept up to 9,500 new customers per month for homeowner insurance policies in […]
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