Consumer Watchdog, the Los Angeles organization that has frequently challenged state Insurance Commissioner Ricardo Lara, has successfully regained its recertification. This decision enables the group to secure funding for its advocacy efforts.

Earlier this year, the California Department of Insurance had paused the group’s recertification process as an intervenor in rate cases, a typically straightforward procedure. Instead of simply approving the application, Lara sought public input, resulting in numerous comments from insurers and others critical of Consumer Watchdog’s work.

The group provided additional information, which led the commissioner to approve the recertification. However, Lara’s approval notice, dated last Friday, noted that the nonprofit did not sufficiently demonstrate how its intervention helps lower premium costs. Lara indicated that the description of Consumer Watchdog’s contributions to the rate-application process was inadequate compared to the department’s own role.

Jamie Court, president of Consumer Watchdog, criticized Lara for politicizing a normally routine recertification process, particularly after the organization had previously criticized Lara for accepting insurer donations despite his campaign pledge to avoid them. Court expressed relief at being able to continue representing consumers against unreasonable rate increases and argued that the commissioner tends to approve rate hikes without their involvement.

Under the intervenor compensation program, experts who contribute to rate cases can be compensated for their work. Consumer Watchdog, which helped promote the 1988 ballot measure that established the elected insurance commissioner position, claims to have saved California ratepayers over $6 billion by challenging insurance rate hikes. Lara, however, disputed this claim, attributing most savings to the Department of Insurance’s oversight.