Mark Horvath, the founder of Los Angeles-based nonprofit Invisible People, has expressed concern over the escalating car insurance costs in California. In an April 1 post on X, he said, "it’s becoming impossible to live" in the state due to these rising costs.
"My car insurance just went up 40%," said Horvath, according to X. "I've been with the company 20 years. Upon a bit of research, all insurance companies are raising rates in Southern California. It's always been really pricey to live here, but it's becoming impossible to live here."
According to a report by NPR, drivers in California seeking car insurance coverage are facing longer wait times and higher costs. The average auto insurance rate increase in the state was 18% between 2023 and 2024. Major insurers such as State Farm and Allstate have increased their rates by 21% and 30% respectively.
Bob Passmore, Vice President of Policy Research International at the American Property Casualty Insurance Association, voiced his concerns about how these rising car insurance costs are impacting California residents. He said, "These kinds of issues affect you whether you own a car or not or whether you rely on Uber exclusively for your transportation. The same thing is true if you own your own car and buy auto insurance. One way or another, it's going to affect you," according to Politico. Passmore further explained that increased auto insurance costs can get passed on to customers who use rideshare or other transportation services.
A statewide survey conducted by Morning Consult in February revealed some alarming statistics about Californians' perception of the car insurance situation. According to the poll results, 62% of respondents believe that the cost of car insurance is negatively affecting California's economy while 66% agreed that "California’s insurance markets are in crisis." A significant majority (79%) found it concerning that the state's required liability limits enable personal injury attorneys to "more easily pursue settlements." Additionally, 69% supported policy reforms aimed at lowering insurance costs for all by "limiting personal injury lawyers’ ability to abuse the legal system."
Passmore also highlighted how lawsuits involving rideshare vehicles contribute to California’s rising car insurance costs. He said, "In a lot of places, you see billboard after billboard of attorneys advertising, ‘Get in a wreck, need a check, give us a call.’ That’s the tip of the iceberg; what drives all the litigation and all the legal system abuse we’ve been seeing," according to Politico. As an example, Politico cited Uber driver Cameron Weir's experience. Weir was driving two passengers in Santa Monica when his car was rear-ended. Despite being "clearly not at fault" for the accident, he was surprised to find out that the passengers were suing not only the driver who hit his car but also him and Uber. Weir noted that many attorneys are aware of rideshare companies’ required million-dollar liability policy, viewing accidents involving rideshare vehicles as "a potential million dollar payday."
Horvath founded Invisible People in 2008 with the mission of elevating stories of individuals facing homelessness, according to the organization’s website. The nonprofit collaborates with brands such as Hanes, Pepsi, and General Motors to facilitate cause campaigns. In recognition of his work, The Nonprofit Times listed Horvath among its 2018 Power & Influence Top 50 nonprofit executives.