California Insurance Commissioner Ricardo Lara criticized over Bermuda trip
California Insurance Commissioner Ricardo Lara faces new scrutiny after traveling to Bermuda for an insurance conference last week.
His critics echoed their discontentment with his close relationship with industry leaders, dozens of which were at the conference. However, Lara's office said the commissioner delivered a keynote address at the conference. They added that 40% of the world's reinsurance companies are based in Bermuda, including the ones that cover residents affected by the Los Angeles County fires.
"Nearly 40% of the world's reinsurance companies are based in Bermuda, paying out trillions of dollars in claims - including those for wildfires," Deputy Commissioner Commissioner Michael Soller said. "Lara delivered a keynote address ... aimed at guaranteeing insurance companies continue to write policies in California."
Last Friday, Lara announced that "provisionally" approved State Farm's emergency rate increase of 22% following its financial troubles stemming from the LA wildfires.
"I think most Californians, especially those who are currently trying to recover from the tragedies in Los Angeles, would hope the insurance commissioner would be here at home helping them recover from those tragedies, not off on a junket in Bermuda," said Carmen Barber, an executive director with Consumer Watchdog.
KCAL News made multiple requests for an on-camera interview with Lara, but the commissioner canceled it over the weekend. Sacramento lawmakers also asked Lara to appear before the state legislature, however he was in Bermuda.
"Unfortunately, this is not the first time and certainly won't be the last that we see the commissioner off on a foreign trip in an exotic locale at a quote-unquote insurance meeting that still raises eyebrows for consumers," Barber said.
