State Farm Ceases New California Property Insurance Applications

California residents now have fewer options to insure their homes, after State Farm General Insurance Co. announced it’s no longer accepting new applications for property and casualty coverage in the state.

State Farm, one of the biggest property and casualty insurers in California and the US, pointed to growing “catastrophe exposure” and substantial increases in construction costs for its decision, which took effect Saturday. The move affects both business and personal applications. It doesn’t impact personal auto insurance.

“We take seriously our responsibility to manage risk,” and recognize the state for their efforts to mitigate wildfire loss, State Farm said ...