California Today

California Sues State Farm Over Wildfire Claims Mishandling

05 May 2026 06:56

The California Department of Insurance has filed a major enforcement action against State Farm for mishandling claims from the 2025 Los Angeles wildfires. - Investigation found 398 violations in 114 of 220 claims reviewed.

- Violations include delays, underpayments, and repeated adjuster reassignments. - State Farm faces millions in penalties, the largest after a disaster this century.

- Commissioner Lara is sponsoring two bills to improve disaster claims handling. The action seeks to hold State Farm accountable and ensure fair treatment for survivors.

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