Recent wildfires have seared the property insurance market for some homeowners and businesses in the Golden State. According to the California Department of insurance, in 2017, for every $1 of premiums collected for homeowner’s insurance coverage, $2.01 was paid in out in claims, a loss ratio of 201%. In 2018, the loss ratio was 170%. This number does not account for administrative costs, including commissions, so the real damage is considerably worse. For reference, insurance carriers generally prefer a less ratio below 50-60% so they can still turn an underwriting profit after adding in administrative costs.
Welcome to the Resource Blog!
Here you will be able to find communications from the RIM team as well as helpful resources and articles.