An all - important election has slid relatively under the radar but could have serious ramifications for California’s $123 billion a year insurance industry.
California’s elected insurance commissioner oversees the state’s expansive insurance industry and there are not too many jobs that have more of an effect on citizens’ wallets.
On November 4th Californians will go to the polls to effectively decide whether the post will receive more power over pressing insurance issues including health premium rates.
The two candidates have starkly contrasting views on the future role for the commissioner’s office.
Incumbent Democrat Dave Jones, elected in 2010, aims to expand the powers of the office. Jones is an avid supporter of Proposition 45, which would give him new authority to approve or reject proposed health insurance rates if deemed ‘excessive.’
On the other side, Republican challenger state Senator Ted Gaines, also a former insurance agent, wants to reduce political gridlock on rate – setting through allowing insurance companies to compete more freely in the marketplace.
Jones boasts he has been a long – standing consumer advocate in California, claiming he has saved policy holders $1.67 billion by holding down rates for auto, homeowner and other policies since 2011.
“I want to make sure we have a level playing field, a strong insurance market and good consumer protection,” said Jones, a 52-year-old Sacramento resident. “Without regulations, insurance companies would take advantage of businesses and consumers.”
Gaines attributes his experiences running an actual agency to him being the true consumer advocate.
"We have to satisfy the needs of the customer," he says. He opposes Proposition 45 because it would give the commissioner too much power.
“It’s helpful to have someone with experience in the industry in the office,” he said. “I consider myself the ultimate consumer advocate because I’ve had to address the needs of my clients.”
Jones sees Gaines’ time in the industry as a hindrance.
“We need someone who’s independent,” he said, “who’s not a captive of the industry.”
Despite their differences, the candidates both agree whoever wins should battle fraud and understand the insurance industry affects almost all citizens so keeping the industry health is of the utmost importance.
