I would like to straighten out the misconception that the data upon which insurance rates are based is kept secret by the companies. Your editorial is very misleading.
The truth is that every insurance company doing business in the state of California must file an annual statement with the Insurance Department. These statements are open to public inspection.
These annual statements contain nationwide premium, expense and loss figures broken down for 30 different types of insurance coverage. All of the data upon which rates are based is included. Assets of the company and liabilities are listed as well as investment income and operating income or loss.
Every three years each insurance company is subject to a financial audit by Insurance Department personnel to determine its solvency and to see if its market practices are proper.