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Ricardo Lara is under investigation by the California Fair Political Practices Commission for taking trips on tax payer dollars. A KGO-TV investigation showed that he had expensive receipts from at least a dozen trips including paying for significant security and high-end dining and hotels since taking office in 2019.
The KGO investigation include that Lara extended a two-day trip to an international insurance conference in Cape Town, South Africa, into a two-and-a-half week vacation, where receipts showed he used a limousine for transportation, lodged at a luxury hotel, booked safari and spa trips, and even expensed hiking gear like walking poles. The outlet didn’t publish a total for those costs but added that an additional security detail for that trip cost $33,000.
The investigation also detailed a five-day trip Lara made to Bogota, Colombia, for a conference on LGBTQ political leaders, reportedly costing taxpayers over $24,000.
One resident wrote CTN, “Wonder why we’re having trouble with our insurance companies? See ABC 7 in the Bay Report about Ricardo Lara.”
Even as numerous Palisades and Eaton Fire victims have had trouble with insurance claims after the fires destroyed properties, filed claims with the State Insurance Commissioner, and ask for help in receiving payment, Lara had remained silent.
California Insurance Commissioner Ricardo Lara “provisionally” granted State Farm’s request in March for an emergency 22% hike in its homeowner’s insurance rate.
In May, Lara did allow adopted a judge’s ruling granting State Farm an emergency rate increase which requires the company receive an immediate $400 million cash infusion from its parent company to address its serious financial condition. State Farm is also precluded from issuing any new block non-renewals through the end of 2025.
Eaton Fire Survivors have held several rallies asking for insurance companies to be held accountable for rate hikes – especially when they haven’t provided payouts to survivors.
On August 1, in letter to Lara, the EF Survivors wrote, “A new report by the Department of Angels finds that a stunning 70% of insured Eaton and Palisades fire survivors are experiencing delays, denials, and underpayments that are derailing their recovery. Among those insured by State Farm, the figure is 82%.
“The financial gap between what families are owed and what insurers are paying is often hundreds of thousands of dollars. Billions in legally obligated insurance payouts remain unpaid. FEMA can’t bridge that. Philanthropy shouldn’t be asked to. The failure of the insurance system under your watch is now impeding the entire Los Angeles recovery. Required Actions As former Commissioner John Garamendi stated: ‘The Insurance Commissioner has clear authority to compel insurers to pay claims fully and promptly—and to block any rate hikes until survivors are made whole.’
“We therefore urge you to: 1. Withdraw your bifurcation proposal 2. Complete and publish your Market Conduct Exam 3. Freeze all rate actions until State Farm brings its handling of Eaton and Palisades claims into full compliance with: • 10 CCR § 2695.7 – Fair Claims Settlement Standards • Insurance Code § 790.03 – Unfair and Deceptive Insurance Practices.”
As residents, we are often told “If you see something, say something.” State Senator Ben Allen, who is running for state insurance commissioner, was asked via email on October 3, “Given all the problems that residents are having with insurance issues after the fire, were you unaware that there were problems with Ricardo Lara’s office – especially now that he is under review by the state ethics office?”
Allen responded, “While I had heard about the campaign finance issues from his earlier time in office, I was unaware of these most recent troubling allegations.”
A cc of that message was also sent to Assemblymember Jacqui Irwin’s office. If she responds, this story will be updated.
We were paid only 50% of what it will take to rebuild. The insurance commissioner should be fired indicted.
State Farm is leaving us with more than $1 million uncovered, insisting that they use Xactimate estimates when have a 70% completed house ready for inspection at any time. This is absurd.
OPM pronounce (Other People’s Money) is clearly at work here. In the business sector you would have to substantiate why you need to go to South Africa for a conference. 12 years ago the economy airfare was over $2,000.
Did Lara take the cheapest flight and the cheapest seat to ensure that he was saving money for our state that is in debt?
You people are being so selfish and cruel to poor Ricardo. Look at that nice smile he has. Isn’t that more important than the few dollars that were spent on these important trips that he made? California is a rich state. It’s only fair for a Gay Latino like Ricardo to get the same perks that others have been getting for years. It’s the essence of DEI. You don’t want to be racist and homophobic, do you? You should all be celebrating Ricardo instead of trying to tear him down with this so called “investigation”!
LOL!!! Yes, I’m being sarcastic, but I’ll bet a large number of your wonderful citizens and “leaders” are actually responding to the investigation in this manner.