California Wildfire Insurance Bad Faith
California moves to suspend State Farm over wildfire claims handling
Published Updated
By People's Justice
What happened
On May 4, 2026, the California Department of Insurance announces an Accusation and Order to Show Cause against State Farm, alleging 398 violations of state law in a sample of 220 wildfire claims (plus 34 from consumer complaints). The Department seeks a cease-and-desist order and asks that State Farm's license to write insurance in California be suspended for up to a year.
Event date:
Source: insurance.ca.gov