As Storm Damages Mount, States Try to Make It Harder to Sue Insurers
Outlet: Wall Street Journal
Climate-driven payouts are pressuring insurers, and some states are looking to keep premiums down.
Home-insurance markets are in crisis in some states, due to severe weather, inflation and regulations. Insurers are responding to heavy underwriting losses by driving up premiums and pulling back from writing new policies. A few hard-hit states are trying to ease the pain on insurers by making it harder for lawyers to sue.
“The pendulum is swinging from being less friendly to insurers to putting them into a position of strength,” said Benjamin Keys, a professor of real estate and finance at the University of Pennsylvania’s Wharton School.