Proposed Bill Would Force Insurers To Cover California Homes In Wildfire Zones

With an insurance crisis causing widespread disruption throughout the state, California regulators rolled out legislation that would force insurance companies to offer coverage in areas where communities and property owners have “hardened” their homes against wildfire risk.

Insurance Commissioner Ricardo Lara said AB 2367 is necessary to stop the tide of homeowners’ insurance cancellations in the wake of billions of dollars in claims from a series of destructive and deadly fires.

He said the shortage of affordable coverage is hurting economies in rural California and other fire-prone areas.

“The insurance crisis is real,” said Lara, who heard from distressed homeowners at town hall meetings.

He and lawmakers unveiled the legislation at the Capitol, where they were accompanied by elected officials and fire chiefs from at-risk Sierra foothill communities.