Illinois insurance director Ann Gillespie wants a judge to make State Farm hand over nationwide homeowners data that regulators first asked for nearly a year ago, according to BestWire. The lawsuit was filed by state Attorney General Kwame Raoul.
Her department says the information on policies and premiums from the country’s biggest homeowners carrier is vital after sharp hikes, including a 27% increase in Illinois this July, left coverage out of reach for more people.
State Farm shot back on Oct. 10, calling the case baseless and irrelevant to Illinois customers or costs. The company insists regulators overstepped by demanding nationwide records during a November 2024 market conduct exam. A hearing is scheduled for Dec. 15 in Cook County Circuit Court.
The Illinois Department of Insurance sees it differently. It argues state law clearly allows examination of business records from any insurer doing business or headquartered in Illinois.
The agency wants data from several State Farm entities, including Fire and Casualty, Mutual Automobile, General Insurance, and Oglesby Reinsurance.
According to the DOI, State Farm refused outright, citing confidentiality and the fact that the records include policies outside Illinois, despite protections written into the state insurance code.
The department says State Farm’s resistance blocks regulators from assessing risks that affect both Illinois and national policyholders.
Its complaint warns the standoff undermines public interest by hiding information regulators need to address affordability challenges in a market already under pressure.
State Farm meanwhile points to costs. It says rising replacement expenses and severe weather drove up Illinois homeowners premiums.
According to the company, it paid out $1.26 in claims for every $1 of homeowners premium collected in Illinois last year, down only slightly from $1.30 the year before.
Hail claims alone hit $638 mn in the state, second only to the $1.1 bn in Texas.
The insurer insists Illinois premiums reflect only Illinois risks – hail, storms, higher rebuild costs – not disasters elsewhere like wildfires or hurricanes.
Still, the fight over data looms large. Regulators say they need a full picture. State Farm wants the courts to decide where the line gets drawn.
