Calif. DOI wins 20-year court battle against Mercury Insurance

The California Supreme Court's decision upholds a historic $27.6 million fine against Mercury for illegal practices.

The Calif. Supreme Court denied Mercury Insurance's petition, upholding historic $27.6 million fine. (Photo: Mercury Insurance)

Mercury Insurance Company was denied a petition for review by the California Supreme Court, thereby letting stand a $27.6 million fine from the Department of Insurance — the largest in the department’s history against a property and casualty insurer.

In 2015, Mercury was fined $27.6 million for charging consumers unapproved and unfairly discriminatory rates in violation of Proposition 103, which prevents auto insurers from charging excessive rates and requires that rates be approved by the commissioner.

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Heather A. Turner

Heather A. Turner is the managing editor of ALM's NU Property & Casualty Group. She can be reached at [email protected].

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