Commissioner announces COIN impact investments estimated to reach $29 billion
News: 2019 Press Release
SACRAMENTO, Calif. — Insurance Commissioner Dave Jones released a report today detailing the successful progress of the California Organized Investment Network (COIN) during his administration, which is a program within the Department of Insurance that sources and structures investments for insurers that are financially sound and yield positive social and/or environmental impact in California. The report shows based on prior data call findings and COIN’s tracking of insurers’ investments, COIN investments are estimated to reach $29 billion by the end of 2018. These investments support renewable energy projects, affordable housing opportunities, health centers, economic development, jobs, and numerous other social and environmental benefits in the state.
Insurance company holdings in California community development and green investments have consistently increased, and more than tripled from $6.6 billion at the end of 2010 to $22 billion at the end of 2015 according to prior data call findings. Based on the growth trends, COIN investments are estimated to reach $29 billion by the end of 2018, quadrupling from $6.6 billion in 2010 when Commissioner Jones was first elected to lead the Department of Insurance. Yet, estimates of COIN investments during 2016 through 2018 underscore the importance of the Community Investment Survey (CIS) Data Call and monitoring insurer reinvestment into California. After the sunset of the CIS Data Call and COIN Community Development Financial Institutions (CDFI) Tax Credit in 2017, despite efforts by Commissioner Jones through sponsorship of AB 2728 (Atkins) and AB 778 (Caballero), information about the amount of capital insurers hold in California community development and green investments is no longer available to the public.
“Insurer investments into California’s underserved communities and environment remain crucial to the economic development of the State,” said Insurance Commissioner Dave Jones. “I encourage policymakers to authorize the Department of Insurance to obtain annual reporting from insurers on their community and green investments in California and to reinstate the COIN CDFI Tax Credit.”
Established in 1996, COIN is a collaborative effort between the California Department of Insurance, insurance industry, community affordable housing and economic development organizations, and community advocates to support investments benefitting California's environment and low-to-moderate (LMI) income and rural communities. Over the past 20 years, the COIN CDFI tax credit program provided tax credits to investors and helped CDFIs raise funds for projects creating social and environmental benefits to low-to-moderate income households or areas, as well as rural communities in California.
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Media Note:
Led by Insurance Commissioner Ricardo Lara, the California Department of Insurance is the consumer protection agency for the nation's largest insurance marketplace and safeguards all of the state’s consumers by fairly regulating the insurance industry. Under the Commissioner’s direction, the Department uses its authority to protect Californians from insurance rates that are excessive, inadequate, or unfairly discriminatory, oversee insurer solvency to pay claims, set standards for agents and broker licensing, perform market conduct reviews of insurance companies, resolve consumer complaints, and investigate and prosecute insurance fraud. Consumers are urged to call 1-800-927-4357 with any questions or contact us at www.insurance.ca.gov via webform or online chat. Non-media inquiries should be directed to the Consumer Hotline at 800-927-4357. Teletypewriter (TTY), please dial 800-482-4833.
