Coalition of Advocates Sounds Alarm on California Wildfire Insurance Plan

A coalition of consumer, environmental, and economic justice organizations is sounding the alarm on what they describe as a secretive wildfire insurance deal that could lead to significant rate hikes in California.

In a letter addressed to Governor Gavin Newson and state legislative leaders, the coalition asked for transparency, claiming that public interest groups have been deliberately excluded from negotiations over an insurer bailout and deregulation plan.

It criticized the rush to finalize the deal during the final weeks of the legislative session without sharing the specifics with the public, asserting that a ‘multi-billion-dollar bailout’ of the insurance industry should undergo a public debate to maintain consumer protections.

‘It is particularly offensive that this proposal is being rushed through in secrecy during the final weeks of the legislative session,’ the letter said. ‘A plan to bail out the insurance industry and make Californians pay demands a thorough public debate, but the details of this proposal have yet to be seen in public.’