SAN FRANCISCO — The California Supreme Court dealt property insurers a blow on Monday, reversing lower court rulings that had limited the state insurance commissioner’s authority and blocked a rule the industry had slammed as overly prescriptive and burdensome.
The lawsuit by two state industry trade associations challenged a 2011 regulation making it illegal for insurers to issue estimates of a home’s replacement cost to consumers unless the estimate included specific factors like the cost of labor, building materials and debris removal.
