Insurance commissioner defends homeowners plan blasted by consumer group [Los Angeles Times (CA)]
ZURICH INS GROUP S/ADR (ZURVY)
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Source: Los Angeles Times
That was before Breslau's California West housing development was dropped by Farmers Insurance and the homeowners board had to hunt around the world to replace the Los Angeles insurer, which was providing $92 million worth of coverage for about $350,000 each year, Breslau said. After cobbling together a patchwork of insurers that include Lloyd's of London, the complex still has insurance, but the total cost rose to $1.7 million for just $50 million in coverage, he said. As part of the new deal, homeowners have to pay an extra $4,700 special annual assessment. “There are people in this community, when this was announced at the board meeting, who were losing their minds. They were panicking,” said Breslau, 71, who is still working and, so, more able than others to absorb the added costs. . “Where are you going to come up with that?” Breslau was one of two homeowners who spoke out Tuesday morning at a news conference on the steps of Los Angeles City Hall before a hearing inside he
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