PG&E Corp.’s bankruptcy could mark a business milestone: the first major corporate casualty of climate change. Few people expect it will be the last. California’s largest utility was overwhelmed by rapid climatic changes as a prolonged drought dried out much of the state and decimated forests, dramatically increasing the risk of fire. On Monday, PG&E… Continue reading PG&E: The First Climate-Change Bankruptcy, Probably Not the Last
Tag: homeowners insurance
PG&E Bankruptcy Threatens California Wildfire Suits, Green-Power Contracts
PG&E Corp.’s plan to file for bankruptcy protection has enormous repercussions for everyone from the homeowners suing the utility for California wildfire damages to the companies that furnish it with green energy. California’s largest utility said Monday it was preparing to file for Chapter 11 protection before the end of the month as it faces… Continue reading PG&E Bankruptcy Threatens California Wildfire Suits, Green-Power Contracts
PG&E Sparked at Least 1,500 California Fires, Now the Utility Faces Collapse
PG&E Corp. equipment started more than one fire a day in California on average in recent years as a historic drought turned the region into a tinderbox. The utility’s unsuccessful efforts to prevent such blazes have put it in a state of crisis. The fires included one on Oct. 8, 2017, when nearly 50-mile-an-hour winds… Continue reading PG&E Sparked at Least 1,500 California Fires, Now the Utility Faces Collapse
Lloyd’s of London “Steered” Hawaii Homeowners by Artificially Inflating Coverage in Kickback Scheme, Federal Lawsuit Alleges
A federal class action lawsuit alleges that Lloyd’s of London and its affiliated insurance brokers “steered” Hawaiian homeowners throughout the state away from comprehensive home insurance coverage established by the State of Hawaii. The lawsuit states that Lloyd’s and its agents deceived consumers, offering Lloyd’s surplus lines insurance without performing the due diligence required under… Continue reading Lloyd’s of London “Steered” Hawaii Homeowners by Artificially Inflating Coverage in Kickback Scheme, Federal Lawsuit Alleges
As Fires Ravaged California, Utilities Lobbied Lawmakers for Protection
As California’s deadliest wildfire was consuming the town of Paradise in November, some of the state’s top power company officials and a dozen legislators were at an annual retreat at the Fairmont Kea Lani resort on Maui. In the course of four days, they discussed wildfires — and how much responsibility the utilities deserve for… Continue reading As Fires Ravaged California, Utilities Lobbied Lawmakers for Protection
Insurers Sue PG&E Over Northern California’s Camp Fire As Insurance Claims Hit Billions
Three major insurance companies are suing PG&E over the billions of dollars in claims they expect to face from the Camp Fire. The lawsuits, by Allstate Insurance Co., State Farm and USAA, represent another potentially staggering blow to PG&E, which has already acknowledged that problems occurred on a high-voltage transmission tower near the spot where… Continue reading Insurers Sue PG&E Over Northern California’s Camp Fire As Insurance Claims Hit Billions
Crum & Forster to Hand $20M PG&E Loss to Reinsurers: Sources
US specialty insurer Crum & Forster is expected to hand $20mn of losses to reinsurers from its line on PG&E’s liability cover, according to The Insurer. The Fairfax Financial subsidiary is understood to have written a $25mn share of the tower for the Californian utility company, which has been affected by the fallout from the… Continue reading Crum & Forster to Hand $20M PG&E Loss to Reinsurers: Sources
Fitch Ratings: November Wildfires Expected to Have Modest Impact on YE P/C Results
In Fitch Ratings’ recently published 2019 property/casualty outlook, our estimate of the overall industry combined ratio for the year is projected at 99%, including catastrophe losses from the fourth-quarter California wildfires. While gross insured losses from the fires have been significant, a considerable amount of these losses are expected to be ceded to various global… Continue reading Fitch Ratings: November Wildfires Expected to Have Modest Impact on YE P/C Results
Wildfire Victims Sue AAA’s Northern California Insurance Arm Alleging Negligence
Like many local wildfire victims, Larry Spanier would like to rebuild his home in the Fountaingrove neighborhood that was burned to the ground in the October 2017 blaze. And like many others, Spanier has found himself severely underinsured with his $727,800 structure coverage provided by CSAA Insurance Exchange insufficient to build another similar house. CSAA… Continue reading Wildfire Victims Sue AAA’s Northern California Insurance Arm Alleging Negligence
Assignment Of Benefits Abuse Is Driving Up Insurance Costs In Florida
Florida’s assignment of benefits (AOB) crisis continues to spread statewide and has cost consumers billions of dollars in unnecessary litigation and inflated claim costs, according to an Insurance Information Institute (I.I.I.) study released today. An AOB is a document signed by either an auto or homeowners policyholder which allows a third party, such as an… Continue reading Assignment Of Benefits Abuse Is Driving Up Insurance Costs In Florida