State Farm 'emergency' insurance rate hike approved as customers continue to feel impact of LA fires

State Farm has gotten approval to raise insurance rates for homeowners starting in June.

The "emergency" rate hike was approved as customers continue to feel the devastating wildfires' lasting impact.

This is the first insurance company to win approval to do so on an emergency interim basis in California.

The insurance giant says it expects to pay $7 billion in claims from the Los Angeles fires in January.

A judge ruled in favor of the emergency rate hike, and Insurance Commissioner Ricardo Lara approved it Tuesday.

"I'm a little choked up because he's kind of like the last resort. He's where the buck stops," Rachel Telleria, a homeowner from Altadena, said.

The Eaton Fire ripped off the roof of Telleria's home.

She claims State Farm wouldn't patch it up, and now she has water damage from the rain.

"We're four months out, and I'm still not back in my home. My children don't have a home to come to from college. It's graduation. They have nowhere to come home to," she said.

Renters and condo owners could see a 15% rate hike, while homeowners could see a 17% increase.

Rental dwellings could see a whopping 38% rate hike.

The Altadena resident says she's only gotten a quarter of the money needed to fix her home, and she says the excruciating process has been a nightmare.

"It's taken a toll on my health. I've lost 20 pounds. My hair is falling out. I don't sleep," said Telleria.

"...I expect State Farm to provide the highest level of service to its California customers and to fulfill its promises... I am focused on ensuring that State Farm pays its claims to wildfire survivors fully and fairly, and nothing is off the table," a statement from Lara said.

A statement from State Farm said they are working on helping wildfire victims.

They say they've paid just over $3.5 billion already and are handling more than 12,000 claims.