Part 5/12:
Industry defenders argue that the rising claims costs are a factual reflection of increasing risks, necessitating higher premiums to maintain financial solvency. Conversely, politicians like Illinois Governor JB Pritzker accuse insurance companies of unjustified and arbitrary rate hikes, claiming they are subsidizing disaster losses elsewhere, such as in California. State legislators are contemplating legislation that would regulate these increases more strictly, demanding insurers justify large hikes with data, and potentially reject excessive ones.