State Farm's decision to suspend property insurance sales in California could decrease competition in the homeowners insurance market while straining a last resort coverage option for homeowners and businesses unable to buy traditional insurance, experts say. Alex Selarnick, Insurtech associate in Philadelphia who represents insurers and insurance technology companies, said that State Farm's sales decision could potentially create a circumstance in which the California FAIR Plan's financial backing is inadequate to support the homeowners insurance market in the state. "Without a vibrant private insurance market, I think a lot of the homeowners insurance risk will start to fall disproportionately on the FAIR Plan," Selarnick told Law360. He also noted that many insurance companies have been pressing for the ability, currently illegal in California, to use predictive catastrophe models to price homeowners policies.