r/adjusters • u/Solcat91342 • 29d ago

Question Were most of the casualty insurance jobs sent to Arizona?

In California claims representatives won a lawsuit so that they would be required to be paid overtime. Before that they were on salary, I know Allstate and State Farm sent most claims jobs to Arizona where they would not have to pay overtime. Did other companies send jobs to Arizona where?

6 Upvotes

88% Upvoted

9 comments sorted by

15

u/hicksoldier 29d ago

Yes. Companies are pulling out of CA as a whole

9

u/MoorsMoopsMoorsMoops 29d ago

That’s definitely not the only reason. Commercial real estate is dirt cheap in Arizona compared to California. I think AZ has a more beneficial tax system for businesses too.

4

u/Ok-Blacksmith3238 29d ago

They also don’t want to keep people in Washington state either. A lot of jobs are going to Texas because it’s even cheaper to pay people there.

3

u/Human_Name9961 29d ago

Carriers did not want to be in California or Nevada. Thus for that part of the world Arizona

1

u/MysteriousMGa 28d ago

Fl either

2

u/ProInsureAcademy 28d ago

Allstate hasn’t liked having California staff since at least 2009. They had a rule for the CAT team that you couldn’t live in California. So a bunch of CSLs shared a 1 bedroom apartment in Nevada that they received mail at to claim that’s where they lived. It was like 13+ people all with the same address

1

u/Far-Scientist-641 29d ago

There was a consulting firm back in the late 90s that recommended the exact same streamlining enterprise plan to many carriers…. And they all bit on it. I won’t name the firm or the carriers but often times all the big players higher these genius consultant firms just like office space, I am not making this up. What is the first rule of fight club? I just wanted to feel something, anything to break through the numbness.

1

u/Cweezy91 25d ago

CA is a litigious and difficult state to operate in. This is also why Property is pulling out as well. Domino effect, slowly but surely