State Farm asked California on Monday if it could hike home insurance rates in the state by an average of 22% to address what it has claimed was a potentially “dire situation” related to payouts from the devastating Los Angeles-area wildfires The insurer claimed that it has paid out more than $1 billion to California policyholders affected by the wildfires after receiving nearly 9,

State Farm came under fire for seeking a 22 percent rate hike, with a 38 percent increase for renters, after the California wildfires.

California's largest private insurer, State Farm, on Monday urged the state's insurance regulator to approve an emergency hike in rates to help offset the hefty payouts the company is making after devastating wildfires in Los Angeles last month.

State Farm, the largest home insurer in California, is asking for an emergency rate hike from state regulators as it warns that multibillion-dollar payouts from the Los Angeles wildfires threaten its balance sheet and the broader insurance market.

One of California’s top property insurers is asking for a double-digit rate hike in the wake of the Southern California wildfires. KRON4's Dan Kerman breaks down what it may cost you if the rate hikes are approved.