California says State Farm violated the law in handling of insurance claims after 2025 LA wildfires

SACRAMENTO, Calif. (AP) — California’s apical security regulator says the authorities is seeking millions of dollars successful penalties from State Farm aft an probe recovered the security institution violated authorities instrumentality portion handling claims from the 2025 Los Angeles-area wildfires.

Insurance Commissioner Ricardo Lara said Monday that State Farm violated the instrumentality hundreds of times.

Lara launched the probe past June aft survivors of the Palisades and Eaton fires said that the state’s largest location insurer was delaying and mishandling claims regarding harm to their homes and imaginable contamination from smoke.

The section looked astatine 220 random claims filed to State Farm and recovered astir 400 violations. They included underpayment and dilatory oregon inadequate assertion processing.

The last magnitude of penalties volition beryllium recommended by an administrative justice and finalized by Lara.

State Farm didn’t instantly respond to petition for comment.

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