State Farm faces legal action over L.A. wildfires

LOS ANGELES COUNTY, Calif. (CNN, KYMA) - State Farm is facing legal action over last year's wildfires in Los Angeles.

California insurance regulators are accusing it of unlawfully delaying, denying, and underpaying home-insurance claims related to the fires.

The state is seeking millions of dollars in damages. It's also seeking the power to ban state farm from creating new policies in the state for up to a year.

The California Department of Insurance says it found unlawful behavior by State Farm in more than half of a sample of 220 claims.

State Farm said it strongly disagrees with the filing and called California's insurance market the most dysfunctional in the nation.