Mercury Insurance has announced it has submitted a rate filing for its California Homeowners program, aligning with the State's Sustainable Insurance Strategy. This filing marks the first utilization of the recently reviewed Verisk Wildfire catastrophe model, aimed at better estimating the impact of future wildfire events. Upon approval, the plan will enable Mercury to expand its coverage offerings in high wildfire risk areas, providing options beyond the costly and limited California FAIR Plan. The filing proposes an average rate increase of 6.9 percent due to inflationary pressures and wildfire exposure, with potential discounts available for homeowners taking steps to mitigate wildfire risks. This strategic move highlights Mercury's commitment to stabilizing the California homeowner's insurance market and offering more comprehensive coverage options.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.