{"id":489,"date":"2026-06-09T18:30:37","date_gmt":"2026-06-09T18:30:37","guid":{"rendered":"https:\/\/californiamovingreport.com\/index.php\/2026\/06\/09\/california-insurance-commissioner-race-is-set-kim-vs-allen\/"},"modified":"2026-06-09T18:30:37","modified_gmt":"2026-06-09T18:30:37","slug":"california-insurance-commissioner-race-is-set-kim-vs-allen","status":"publish","type":"post","link":"https:\/\/californiamovingreport.com\/index.php\/2026\/06\/09\/california-insurance-commissioner-race-is-set-kim-vs-allen\/","title":{"rendered":"California insurance commissioner race is set: Kim vs. Allen"},"content":{"rendered":"
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For the first time since California insurance commissioner became an elected position, two Democrats will vie for the job in November.<\/p>\n

Read more California wants to cap business tax credits, alarming life sciences and tech industries<\/a><\/p>\n

The top two vote-getters in the June primary were former San Francisco Board of Supervisors member Jane Kim and state Sen. Ben Allen, who received about27% and 20%of the vote, respectively. One of them will succeed Ricardo Lara, the former Democratic lawmaker who has served two terms as insurance commissioner. Lara has presided over the Insurance Department in the past eight years, during which the state saw its deadliest and most devastating fires.\u00a0<\/p>\n

Kim or Allen will be taking on complicated, enormous challenges that have implications for local communities, people\u2019s ability to buy homes and start businesses, and the state\u2019s economy.\u00a0<\/p>\n

In the past few years, insurance companies stopped writing new policies or renewing old ones, especially in high-risk areas, citing increasing wildfire risk from climate change and inflation that followed the COVID-19 pandemic. This caused homeowners to turn to the last-resort FAIR Plan, which is mandated by law to provide fire insurance. The plan, run by an alliance of insurers, has grown to more than 684,000 policies in force as of March, an increase of 152% since September 2022. It has warned about its ability to keep paying claims after major disasters.<\/strong><\/p>\n

Proposition 103, a law approved by voters in 1988, means that among many other things, the elected commissioner has the power to approve rate increases. It has kept the state\u2019s rates from rising too much over the years \u2014 Californians\u2019 homeowners insurance premiums have hovered around the middle of the pack nationwide \u2014 but that could change. Last year, the commissioner put in place regulations that include new factors insurers can use when setting their premiums, such as catastrophe modeling and reinsurance costs. Some companies have applied for and received approval to raise their rates, so they\u2019re starting to write policies again.<\/p>\n

Keeping insurance available but affordable will be the most pressing issue for either Kim or Allen, whose responsibilities will also include regulating auto, pet and some aspects of health insurance, plus workers\u2019 compensation.\u00a0<\/p>\n

Another problem that will need plenty of attention: making sure insurance companies pay their claims in a timely manner that helps communities to rebuild. The L.A.-area fires shed a light on insurer practices that delay and deny claims, as well as underinsurance and the lack of standards for smoke damage, which have held up recovery. Pending legislation \u2014 such as those authored by Allen, whose district was hit by the fires last year \u2014 and lawsuits will address some of those issues. Well-organized fire survivors who called for Lara\u2019s resignation over his department\u2019s response to their concerns will surely keep up the pressure on his successor.<\/p>\n

Here\u2019s a look at each candidate\u2019s record and how she or he would approach the job, based on their interviews with CalMatters and what they have said publicly, including at candidate forums.<\/p>\n

Jane Kim<\/h2>\n

Kim\u2019s proposal to create \u201cnatural disaster insurance for all,\u201d inspired by a program in New Zealand, has gotten a lot of attention. She plans to fund such a system with a portion of policyholder premiums that insurance companies would collect and divert to the state. The state would then guarantee fire and flood coverage, while insurance companies would continue to cover other risks.<\/p>\n

Naysayers, including consumer advocates, wonder why she hasn\u2019t released any specifics about how much capital such a fund would require. Kim told CalMatters that it would need to be studied, but that at its core her proposal would generate revenue.\u00a0<\/p>\n

Opponents of her proposal also say it\u2019s a bad idea to shift catastrophic burden onto the state, pointing to what they say is the failure of splitting off earthquake insurance from homeowner insurance \u2014 most California homeowners now have no insurance coverage.<\/p>\n

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\u201cWe (taxpayers) already are on the hook,\u201d Kim said. \u201cWhen insurers and utilities refuse to pay, they just pass it on to us anyway. Sharing the risk is important.\u201d\u00a0<\/p>\n

Kim also told CalMatters that an idea Merritt Farren, a Republican candidate for commissioner, proposed \u2014 that the state create a reinsurance authority to encourage insurers to write policies in the state \u2014 \u201cmay turn out to be a more efficient model.\u201d\u00a0<\/p>\n

Among Kim\u2019s shorter-term priorities if she wins:\u00a0<\/p>\n