California auto insurance policyholders may be unlawfully charged higher premiums
California auto insurance policyholders may be charged hundreds of dollars a year in higher premiums than permitted by California law.
Auto insurers must base the premiums they charge on insurance company rates that are filed with and approved by the California Department of Insurance. The rates form the building blocks of the premiums charged, and include discounts for some risks and additional charges for other risks. After determining all of your risks, the insurer calculates the actual amount of premium they will charge for your policy. Sometimes risks are improperly imposed on your policy that cause your premium to be higher than it should be. This could cost you hundreds of dollars in unlawful premiums every year.