State Farm no longer offering home insurance in California

State Farm will no longer offer home and property insurance to new customers in California starting Saturday, the company said in a press release. The insurance company pointed to “historic increases in construction costs outpacing inflation, rapidly growing catastrophe exposure, and a challenging reinsurance market” for its decision, making particular note of the risk posed by the state’s frequent wildfires. “We take seriously our responsibility to manage risk,” State Farm said. “We recognize the Governor’s administration, legislators, and the California Department of Insurance (CDI) for their wildfire loss mitigation efforts....