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Insurance Commissioner Defends Homeowners Insurance Policies

SACRAMENTO (AP) __ State Insurance Commissioner John Garamendi says he won´t give up efforts to prevent homeowners´ insurers from using so-called use-it-and-lose-it policies that result in cancelations for filing legitimate claims.

A state appeals court yesterday struck down emergency regulations that were issued by Garamendi to try to stop use of the policies by regulating insurers´ use of loss databases. Garamendi says use of faulty databases is a prime reason for the use-it-and-use-it policies. But the 3rd District Court of Appeal says the law doesn´t give the commissioner broad powers to regulate homeowners´ insurance

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