Another Insurer Ditches Multifamily Policies, Sparking Chaos in California Market

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Insurance,California,Condo Insurance

Safeco, a branch of Liberty Mutual, joins Farmers in creating uncertainty for California's insurance market. Safeco will stop selling condo policies, contradicting the Insurance Commissioner's promise of stability and affordability. The move comes just days before new, insurer-friendly regulations are issued and as California grapples with an insurance landscape marked by contradictory actions and instability.

Another major insurance company is trimming its risk by refusing to sell more insurance to multifamily developments. The insurance commissioner promised a more stable and affordable market, but what we have right now are cross currents, contradictions, and chaos.Safeco is a branch of Liberty Mutual and California's fourth-largest home insurance company. They filed papers with the California Department of Insurance stating that it would stop selling condo policies.

His rules do not require that," said Consumer Watchdog Harvey Rosenfield, who wrote voter-passed Proposition 103, which kept insurance available and relatively affordable while California insurers profited for more than 30 years. "Insurance companies say they want to sell insurance, but, do they really? Do they really want to do business?" asked Rosenfield.

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