California
Big homeowner rate hike from State Farm shot down by California regulator
In summary
In the wake of the Los Angeles fires, State Farm asked for an “emergency” premium increase of 22% on average for California homeowners. Lara today denied the request pending more information.
California Insurance Commissioner Ricardo Lara today rejected State Farm’s request for “emergency” rate increases, setting up what could be a highly consequential showdown with the state’s biggest insurer — and going against the recommendation of his staff experts.
Lara, who has been urging insurance companies to write policies in the state again despite increasing wildfire risks, says in a letter to State Farm executives that he needs more information before he can approve an increase. He asks them to appear before him in person on Feb. 26 at the Insurance Department’s office in Oakland to answer his questions at an “informal conference.”
“The burden is on State Farm to demonstrate that interim relief is warranted under the circumstances,” the commissioner says in his letter. “My goal is to make sure policyholders do not have to pay more than is required. In light of the recent Los Angeles wildfires, State Farm’s customers need real answers about why they are being asked to pay more and what responsibility the company’s leadership is taking to get its financial house in order.”
“State Farm’s customers need real answers about why they are being asked to pay more and what responsibility the company’s leadership is taking to get its financial house in order.”Ricardo Lara, California Insurance Commissioner, in a letter denying State Farm’s request for “emergency” rate increases on home insurance policies
The company last week asked for interim rate increases averaging 22% for homeowners, 15% for renters and 38% for condominium owners, saying it had already paid out $1 billion in claims from the Los Angeles County fires so far and expected to “pay out significantly more.” It wanted to be able to raise premiums starting in May.
Before making the interim request, State Farm had been waiting for the Insurance Department to approve its rate increase requests from last year.
Lara acknowledged in the letter that his staff recommended last week that he approve the company’s request, but said “my primary responsibility is to the people of California.”
In his letter, among the things Lara asks for are an explanation of what has changed between State Farm’s request last summer and now; what else the company is doing to improve its financial situation besides raising rates; and whether State Farm’s parent company would be able to step in to help. The commissioner also asks how granting the company its request would affect its 2023 decision to continue not writing new policies in California, which was followed by its decision last year not to renew the policies of tens of thousands of customers in the state.
Lara mentions in the letter that with his department’s approval, the company received rate increases of 6.9%, 6.9% and 20% in 2022, 2023 and 2024, respectively. “In the absence of non-wildfire catastrophic losses in 2022 and 2023, how does State Farm explain the significant decrease in its policyholder surplus?” he asks.
Dan Krause, chief executive of State Farm General, the California arm of State Farm Group, said in a letter to Lara dated Feb. 3 that the company has nearly 3 million policies in the state, including 1 million homeowner policies. He asked for the commissioner to bypass the usual hearings, which are required by state law when an insurer requests rate increases above 7% and the increases have been challenged by an intervenor. Krause wrote that “there is simply too much at stake for SFG’s customers and the broader market if any rate increase has to wait on a full hearing or other resolution in the normal course.”
In the insurance department’s recommendation for approving the rate increases sought by State Farm, the staff noted that the proposed agreement would have been subject to refunds promised by the company if the department eventually approves rates lower than the interim rates.
The meeting at which Lara is asking State Farm executives to appear in person will also include Consumer Watchdog, the group that intervened last year when the company filed its rate requests.
Consumer Watchdog last week urged the commissioner to reject State Farm’s request for the interim rate increases. In a press release, the group accused the company of “misleading policyholders into believing its financial condition is at risk.”
The consumer advocacy group had a mixed reaction to the commissioner’s action, saying he needs to follow the law and hold a public rate hearing.
“The Commissioner is right to call for more scrutiny of State Farm, which has so far stonewalled information requests,” said Pam Pressley, an attorney for the group, in a press release today. “However, the outstanding issues need to be raised and answered in a formal hearing, which Consumer Watchdog has called for, where there is formal discovery and due process rights.”
Still, the group plans to attend Lara’s meeting on Feb. 26, Consumer Watchdog President Jamie Court told CalMatters today. “We will take every opportunity we can to make our case even if we disagree with the process,” he said.
State Farm has not responded to a request for comment. When asked to comment last week about its proposed emergency rate increase, a State Farm spokesperson referred to a statement on the company website that said in part that “insurance will cost more for customers in California going forward because the risk is greater in California.”
Property owners in California have struggled with insurance availability and affordability in the past few years as companies have either stopped renewing policies or writing new ones, citing wildfire risk and inflation. Many homeowners have had to turn to the FAIR Plan, a coverage pool, funded by insurance companies operating in California, that’s required by law to provide fire insurance to those who can’t otherwise find it.
This week, Lara approved a $1 billion lifeline sought by the FAIR Plan, which said it risked running out of money to operate as it pays out claims for the Los Angeles-area fires. Its member companies will be responsible for that amount, and are expected to take advantage of their new ability to try to recoup half of that money from their customers by charging them a one-time fee.
Last year, the commissioner rolled out a multi-part effort to address insurance availability in the state. It took effect at the beginning of 2025, right before the L.A.-area fires.
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California
California dad charged with incest after allegedly assaulting daughter; DA may drop case
Dad charged with incest after allegedly assaulting daughter
Makayla Rene Settles moved to California to chase her dreams. Two days later, her family says her biological father sexually assaulted her. She was 18. She died five months later. Now her family is fighting to make sure her accused attacker faces trial.
VENTURA COUNTY, Calif. – When Makayla Rene Settles turned 18, she left Raleigh, North Carolina, for a fresh start. She moved to Moorpark, California, to live with her biological father, Stephen Vincent Chavez, with plans to attend college and build a new life. Two days after she arrived, her family says she called terrified and asking for help.
“It was just the fear in her voice, her crying. I didn’t need details. I knew something was wrong, and I said, ‘I’m on the way,’” said Carolina Sandoval, Makayla’s mother.
Carolina says she rushed to Chavez’s home. When she saw her daughter, she was devastated.
“She’s barely walking,” Carolina said. “My brother picks her up and hugs her.”
Makayla was taken to a hospital, where a rape kit was performed. According to the family, the results came back positive for Stephen Vincent Chavez’s DNA. He was arrested that same night and charged with incest, taking advantage of a position of trust, and providing alcohol to a minor.
Her cousin, Crystal Sandoval, was in disbelief. She said, “I was screaming, I was crying. I just kept thinking, why would he do that to her? This is something she could not come back from.”
Crystal was right. Five months later, Makayla Rene Settles died by suicide.
“If I’m being honest, it feels like I handed my daughter to the devil,” said Carolina.
On the night Makayla was taken to the hospital, Sandoval says Chavez sent her a text message. It read, “I’m never drinking liquor again. I don’t want that blackout to happen again.”
Now, the family says they’ve been dealt another devastating blow. According to Crystal Sandoval, the Ventura County DA’s Office has told them the case may not go to trial because Makayla is no longer alive to testify.
“The DA was essentially saying, ‘We don’t know if we have a case because she’s no longer here,’ and when she told me that, I immediately said, ‘No, we’re not going to let that slide,’” said Crystal.
Determined to get justice, Crystal took to social media. Her videos went viral, drawing widespread outrage and prompting hundreds to promise to show up to Chavez’s next court hearing, scheduled for April 21 at the Ventura County Courthouse.
“It was like he took her sunshine away and just kind of broke her soul,” Crystal said.
The Ventura County District Attorney’s Office issued the following statement:
“We have seen the posts online and want to let the public know that our Sexual Assault Unit continues to prosecute the defendant for this extremely serious crime. This case has been filed since July 2025, when the evidence supported the filing of felony charges. As with any case, prosecutors filed charges based on the evidence. The court sets bail. Our office successfully moved to increase bail to $250K in July 2025 when the case was filed. The defendant requested that bail be reduced, but we successfully argued against that. The defendant has since posted $250K bail and is out of custody. With respect to the upcoming hearing, the April 21 date is an early disposition conference. This is a standard pretrial proceeding where the court and parties address the status of the case and set future dates as appropriate.”
Despite that statement, the family says they have already been told a trial is not guaranteed, and they are not backing down. Chavez has pleaded not guilty. His next court hearing is April 21 at 8:30 a.m. in Courtroom 14 at the Ventura County Courthouse.
California
California’s leading GOP candidate for governor reacts to Swalwell’s exit from race | CNN Politics
California’s leading GOP candidate for governor reacts to Swalwell’s exit from race
Republican Gov. candidate Steve Hilton joins CNN’s Dana Bash after one of his opponents, Rep. Eric Swalwell, exited the California governor’s race amid sexual misconduct allegations. “We desperately need change. And no Democrat can provide that,” Hilton says.
California
AB 2276 pilot targets seven California counties with speed-limiting devices for speeders
FRESNO, Calif. (FOX26) — A new effort to crack down on dangerous drivers in California is gaining attention as lawmakers push forward legislation aimed at repeat speeders.
Assembly member Esmeralda Soria has introduced a bill that would require certain drivers with multiple speeding offenses to install a device in their vehicles that automatically limits how fast they can go. The measure, known as the “Stop Super Speeders Act” (AB 2276), is designed to improve road safety and prevent deadly crashes.
The program could first roll out as a pilot in several counties, including Fresno, Kern, Los Angeles, San Bernardino, San Diego, Santa Clara, and Shasta. While the proposal was initially intended to be implemented statewide, consultants recommended starting with a smaller pilot program.
The legislation is driven in part by tragic cases like that of Paul Martinez, who was killed at just 21 years old after being struck by a speeding driver in Fresno. His father, Joe Martinez, says the loss is something he lives with every day.
“Being 21 years old and suddenly your entire life, dreams, goals—everything—is just wiped out by the distraction of one person who was speeding,” he said. According to reports, the driver who hit Paul was traveling 54 miles per hour in a 40 mph zone.
Traffic safety remains a serious concern in Fresno. Data from Smart Growth America ranks the city as the seventh worst in the nation for pedestrian deaths.
“I do not want to see another father who grieves every single day because he lost his child to someone driving recklessly,” Soria said.
Under AB 2276, judges would have the authority to require repeat offenders to install Intelligent Speed Assistance (ISA) devices in their vehicles. The technology functions similarly to cruise control but automatically adjusts a car’s speed based on posted limits using GPS data.
“Once the technology is installed, it knows the speed limit of the neighborhood or freeway and makes adjustments accordingly,” Soria explained. “This is for those folks who haven’t learned their lesson from simply getting a ticket.”
However, the proposal has drawn criticism from some groups. Opponents argue that the bill’s language is too broad and could create unintended safety risks. Critics say there are situations where drivers may need to accelerate quickly to avoid danger, and limiting speed could make those situations more hazardous.
Supporters counter that the bill is about accountability and protecting lives on the road.
“You would think this is a no-brainer bill,” said Martinez, “It holds repeat offenders accountable.”
The bill is still in the early stages of the legislative process. Its next step is review by the Assembly Appropriations Committee.
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