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City of San Diego Agrees to Pay Insurance Carriers $6.3 Million in Subrogation Claim

Subrogation

Allstate Insurance Company, et al. v. City of San Diego (San Diego Super Ct. No. 25CU020790N):

On February 26, 2026, the City of San Diego agreed to pay $6,326,331 to resolve subrogation claims brought by 17 insurance carriers arising out of the devastating January 22, 2024 flooding event in San Diego.

According to the lawsuit, insurance carriers sought reimbursement for amounts paid to insureds whose homes and properties were damaged during the severe rainfall and flooding event. Plaintiffs alleged the flooding and resulting damage were caused by the City’s failure to properly maintain its stormwater infrastructure and drainage systems.

Plaintiff Allstate Insurance Company was represented by Schroeder, Loscotoff & Stevens LLP, The City of San Diego was represented by Schwartz Semerdjian.

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