Furthering its Commitment to California, Farmers Insurance® Files Enhanced Business Insurance Rating Plan Seeking to Expand Coverage Options for Small Businesses

Combined with its current Workers' Compensation and new Commercial Auto insurance offerings, Farmers^® seeks to provide an effective solution to business owners

WOODLAND HILLS, Calif., July 31, 2026 /PRNewswire/ -- Farmers Insurance^® has filed an upgraded business insurance rating plan that incorporates elements from Insurance Commissioner Ricardo Lara's Sustainable Insurance Strategy designed to expand commercial insurance options to eligible business owners across the state, including those located in areas identified by the California Department of Insurance as wildfire distressed. The filed rating plan focuses on commercial insurance coverage offerings targeting Habitational (Apartments, Condominiums, Planned Unit Development Communities), Auto Service Shops, Commercial Real Estate, Retail, Office, Service, and Wholesale business segments.

"As one of the largest insurers of small businesses in California, we see a great opportunity to grow our market among business owners throughout the state," said Eric Coleman, president of business insurance for Farmers Insurance. "By combining our workers' compensation and recently refreshed commercial auto insurance programs with our business owner's policy offering, small business owners can leverage the strength and experience of Farmers Insurance with the localized knowledge and personal service of community-based Farmers^® agency owners for an effective solution for their commercial insurance needs."

Under the proposed plan, Farmers commits to writing more than 1,500 new business owner and business property insurance policies in wildfire distressed areas over the next two years.

The enhanced rating plan proposes an effective date of February 1, 2027. While rates will vary by policy type and location, among other variables, the plan anticipates a statewide average upward rate adjustment of just over 15%. 

"Farmers is committed to serving the needs of California's strong and vibrant entrepreneurial community and we appreciate the work of the California Department of Insurance in putting forward solutions like the Sustainable Insurance Strategy that help strengthen the insurance marketplace in the state," added Coleman.

Business Insurance customers will be required to meet all applicable underwriting guidelines to be considered for coverage. Business owners with questions are encouraged to connect with their local Farmers agent. For additional information about Farmers Insurance, visit Farmers.com.

About Farmers Insurance
"Farmers Insurance^®" and "Farmers^®" are tradenames for a group of insurers providing insurance for automobiles, homes, small businesses and a wide range of other insurance and financial services products. Farmers Insurance Exchange, the largest of the three primary insurers that make up Farmers Insurance, is recognized as one of the largest U.S. businesses on the 2026 Fortune 500 list. For more information about Farmers Insurance, visit Farmers.com.

SOURCE Farmers Insurance