The insurer, the fourth largest property and casualty insurance provider in the state in 2021, paused new policies “so we can continue to protect current customers,” spokesperson Brittany Nash wrote in an email to the Chronicle. …

It was not immediately clear what prompted Allstate’s pullback on new policies. But State Farm, the largest provider of property and casualty insurance in California, made waves in late May by announcing it would stop issuing new homeowner policies in the state due to inflation, wildfires and rising reinsurance costs.

That Allstate quietly did the same thing last year signals that the insurance woes in the state may be more severe than the public is aware of.

[Perhaps that’s because the state’s leadership has made it impossible for risk pools to operate properly in the state. If they cannot charge enough to cover their risks after California imposed price caps on premiums, their only option is to stop assuming new risk at all. — Ed]