By the time a $1 billion lawsuit against California’s insurance industry reaches the California Supreme Court, it will likely be the largest lawsuit ever brought by the state’s insurance commissioners.
That’s according to a new report from the nonprofit California Insurance Commission, a non-profit organization that advocates for the industry.
The report says the case could ultimately affect billions of dollars in annual insurance premiums for Californians, including many of the state is biggest employers.
The lawsuit filed by the California Commission Against Insurance, or CICA, is asking a judge to invalidate the state insurance law that limits the liability of companies for claims stemming from accidents.
It argues that the law was created to protect drivers, and not consumers.
The law has already been challenged in the courts.
In January, a federal judge in Washington state ordered the state to comply with the order by removing the insurance-related language from its laws.
The ruling came just weeks after a separate lawsuit was filed by an independent group called Consumer Watchdog, which alleged that the state had used its power to “create a corporate state.”
The case will likely go to court as early as May, according to the report.
The insurance industry argues that California’s law is outdated and needs to be amended to ensure it does not allow for insurers to create a “corporate state” to sue consumers, even when the claim is for a medical or accident-related injury.
The CICA has called the state of California’s version of the Affordable Care Act, which was passed in 2010, “a corporate welfare law.”
The organization has also filed lawsuits challenging the California law in state courts.
The state of the law will likely impact millions of Californians The report also notes that the CICA is suing companies in California that are responsible for claims arising from accidents, and is challenging claims against the state for unpaid premiums, which are the cost of administering and paying claims under the state health insurance system.
The group’s lawsuit seeks to overturn the California insurance law, which it says “created a ‘corporate government’ that was designed to provide the same benefits to all Californians as any other company in the country.”
The CICO’s lawsuit also cites claims that the insurance industry is “stifling competition” in the state by refusing to participate in state insurance exchanges.
The California law is not the only state with a lawsuit against the insurance market in California.
In February, the New York Attorney General filed a lawsuit in state court against the Insurance Institute for Highway Safety, a group of insurance industry executives.
The suit argues that insurance companies in the city of New York are creating “an insurance cartel” and “exhibiting a pattern of deceptive and unlawful practices.”
A federal judge has also ordered New York to pay $1.5 billion in compensation to injured motorists in a crash in the Bronx in March that killed eight people and injured another 23.