California Group Sues to Block Insurers Adding Surcharges After LA Fires

The state insurance chief allowed companies to impose surcharges totalling $500 million.
California Group Sues to Block Insurers Adding Surcharges After LA Fires
Destruction caused by the Palisades Fire near Los Angeles on Jan. 9, 2025. John Fredricks/The Epoch Times
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A consumer group has filed a lawsuit to block California insurers from passing $500 million in surcharges on to policyholders to help cover outlays resulting from the devastating Los Angeles County fires in January.

The April 14 lawsuit, filed in Los Angeles Superior Court by Consumer Watchdog, seeks to halt the state Insurance Commissioner’s approval of the surcharges, which companies hope to  impose to recoup the money they had to provide California FAIR Plan, the state’s insurer of last resort.