Insurers Boost California Economy by $30.2B

California has a near $2 trillion economy that ranks it as a global financial power, thanks in part to a multi-billion dollar boost from the property/casualty insurance industry, according to a new report.

Insurers contributed $30.2 billion to California’s 2011 gross state product, accounting for about 1.6 percent of the state’s GSP, according to the report, released today by the Insurance Information Network of California.

The report, written by the Insurance Information Institute for IINC, also found that:

• California employs more insurance professionals than any other state. Property and casualty insurers provided 293,807 California jobs in 2012 — almost 10 percent of the nation’s insurance workforce. California insurance jobs accounted for $21.2 billion in compensation in 2012.
• In 2012, property and casualty insurance claims payments totaled $32.6 billion in California, while life insurance claims and benefits payouts in California totaled almost $41.8 billion.
• California collected $2.4 billion in premium taxes from insurers in 2012, more than any other state in the country.
• Californians insure substantially more cars – 24.2 million in all – than drivers in any other state.

“From auto insurance to homeowner insurance to business insurance, insurers provide millions of Californians with a blanket of security underwriting risks and contributing to the state’s economic engine,” said IINC Spokesman Tully Lehman.

Source: IINC