Since its inception in 1914, California Casualty has steadfastly honored our commitment to safeguarding customers, prioritizing the well-being of our policyholders at the forefront of our mission. Today, we are reaffirming our unwavering dedication to serving affinity partners and their members.
California is currently contending with a profound auto and home insurance crisis, leading numerous insurance companies to suspend their customer service or exit the California marketplace entirely. In significant contrast, California Casualty has consistently kept our promise and set ourselves apart by delivering exceptional service and peace officer-specific benefits, even amid the most challenging economic times. Our dedication to serving PORAC members remains resolute, a commitment upheld for over 50 years.
The present state of the auto and home insurance industry in California is influenced by various factors, both historical and ongoing. These encompass the post-pandemic surge in claim frequency and severity, unprecedented wildfires and weather events, inflation driving up costs for replacement, repair, or rebuilding, and supply chain disruptions causing delays in parts and materials, among others.
Compounding these challenges are government regulations and requirements in some states, like California, which prevent insurance carriers to quickly adjust insurance rates as needed. The consequence has been insurance carriers abandoning the California market, leaving many people struggling to secure essential insurance protection, and rates increasing significantly to catch up with years of suppressed costs and today’s higher claims expenses.
As we reiterate our commitment to serving PORAC members, it’s crucial to acknowledge that California Casualty has not been immune to these challenges.
One notable impact has been the downgrade of our AM Best financial rating. Fortunately, the vast majority of our policyholders remain unaffected. A small percentage, primarily those with a home policy underwritten by specific mortgage companies, may need to take action. Additional information can be found here. Rest assured, California Casualty possesses the necessary capital to meet all policyholders’ needs, and we are actively working to enhance our financial rating, ensuring we remain a reliable and stable insurance provider.
A more widespread impact is the increase in the cost of coverage. Despite being a family-owned company not swayed by stock market pressures, California Casualty has found it necessary to adjust rates. Recognizing the unique challenges faced by the public safety community, we diligently work to minimize these costs, maintain affordability, and secure the long-term sustainability of your PORAC auto and home insurance member benefit.
Even in the face of the evolving insurance landscape, PORAC members who are California Casualty policyholders boast an impressive 93%* retention rate, far surpassing the industry average. Program participation remains robust, with over 21,000 vehicles and homes currently in force.
No matter the challenges ahead, California Casualty remains dedicated to serving members with the utmost care and compassion. Our STAR PROMISE™ is to provide protection that is Simple, Trusted, Affordable, and Right for YOU.
Featured in the March 2024 issue of PORAC Law Enforcement News.
*As of 11/30/2023 for PORAC members in California
Coverages, benefits, availability, rates and discounts may vary by area, state, or individual rating factors and are subject to underwriting approval. Policies in Arizona, California, Colorado, Idaho, Kansas, Oregon and Wyoming are underwritten by California Casualty; policies in other US states may be available through California Casualty Agency Services. To reach Agency Services, please call (877) 652-2638.