Filing and recent complaints to California’s Fair Political Practice Commission show that CA Insurance Commissioner Ricardo Lara for misusing taxpayer money to fund lavish trips abroad. Since taking office in 2019, Lara has taken 38 trips abroad, visiting at least 13 luxury resorts using public funding. Disturbingly, in order to make these trips, he missed state insurance hearings, neglecting his duty as an insurance watchdog.
Lavish Trips Paid for by Our Taxes
New York City: 4 days at a five-star hotel cost $11,600 plus a $9,400 security detail
Bogota, Colombia: $24,000 on a conference unrelated to insurance
Cape Town, South Africa: 2 and a half weeks including a safari, spa, and security costing at least $33,000
Paying for CHP Security detail: $23,000, including flights, luxury hotels, and chauffeured limos
The filings to the FPPC are not the first time Lara has been caught in corrupt political activity. In 2019 Lara was caught accepting tens of thousands of dollars from people with ties to insurance companies. At the time he returned the money, paused fundraising operations, and promised to do better, but three years later further reports were filed to the FPPC stating that he had continued to receive insurance-backed funds. In 2023, the SF standard reported that he spent $30,000 on meals in high-end restaurants, including one meal at a restaurant called Baar Baar that racked up a $1000 check.
It is a complete failure of the system of governance in California that Lara is allowed to receive campaign contributions from private insurance companies and then spend taxpayer dollars on his extravagant travel expenses. In exchange for funding his lavish lifestyle, Commissioner Lara has rewarded the insurance industries by approving frequent, absorbent rate hikes which leave working people in the lurch. Commissioner Lara recently allowed the denial of 70% of insurance claims by survivors of the Eaton and Palisades fires, and is currently proposing an insurance bill that would open up more loopholes for insurance companies to avoid coverage of impacted Californians.
The people of California are sick of corrupt politicians allowing for corrupt insurance executives to exercise control over the cost of living. Insurance companies exist to make a profit off of the personal ruin of working people. Companies raise rates and rake in money from us, but when we have medical emergencies, when our homes are burned down in fires, they cut costs and refuse to pay out, keeping the wealth to themselves. This instance makes it crystal clear: the regulatory body overseeing private insurance in our state has been captured by the ultra-rich.
The Lalo Vargas for Insurance Commissioner campaign joins the call in demanding full disclosure of Lara’s travel records, auditing of his expense claims, and accountability to the working people of California. Our campaign seeks to end the stranglehold that private insurance has over the working class, to investigate and hold corporate executives accountable for their crimes against consumers and to fight for a California that provides free and high quality coverage for all.