If you have your home insured through Allstate, brace yourself - a significant rate increase is coming your way.
The California Department of Insurance approved an average home insurance rate increase of 34% for Allstate customers, the largest hike of any major insurer in the state in the past three years.
Jamie Court with Consumer Watchdog tells KNX News' Karen Adams, "The thing is, it's not just 34%, it's an average of 34%."
Court said that means if you live in an area at higher risk for wildfires, you'll be paying even more than the 34%. On the other hand, if you live in a denser urban area, you might be paying less.
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Court said that while the hike may sting a bit, as part of the deal, Allstate agreed to be more transparent with its roughly 350,000 customers in the state, especially regarding how individual rates factor into its wildfire models.
"We also got them to agree not to target groups of consumers for non-renewal of their homeowner's policies for at least the next six months," Court added. "They were non-renewing their customers, and they're not going to do that for the next six months."
And if you are looking for a silver lining, Court said that at least Allstate isn't pulling out of the California market as other major insurers have.
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