"Based upon the Insurance Code provision and established case law described above, insurance companies should not deny these claims before undertaking a diligent investigation regarding the cause of loss and carefully considering the facts," California Insurance Commissioner Ricardo Lara wrote in a notice to insurers. (Credit: David Paul Morris)

The California Department of Insurance sent a notice to insurers warning them not to act too quickly when denying flood, mudslide and other claims following a series of winter storms that have beleaguered the West Coast.

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Steve Hallo

Steve Hallo is managing editor of PropertyCasualty360.com. He can be reached at [email protected]