The California Department of Insurance published a press release announcing ten bill proposals sponsored by Insurance Commissioner Lara on wildfire mitigation and recovery.
The proposed bills aim to improve wildfire preparedness and protect and provide relief to consumers. The ten sponsored bill proposals are as follows:
California Safe Homes Act: Establishes a grant program at the DOI to fund fire-rated roofs for residents and non-ignition zones around their properties.
Business Insurance Protection Act: Expands the one-year moratorium of non-renewals for residential property insurance after a wildfire to include commercial policies.
Insurance Payment Protection Act: Caps public adjuster fees at 15% to ensure wildfire victims receive maximum insurance payouts. There is currently no limit on the fees adjusters can charge.
Eliminate “The List” Act: Requires insurers to pay wildfire survivors 100% of their contents coverage without requiring a detailed inventory, and grants additional time to provide proof of loss after a declared state of emergency.
California Community Fire Hardening Commission Act: Creates a statewide commission within the DOI to develop better inspection systems, allowing insureds to receive insurance discounts for home hardening.
Deceptive Disaster Relief Advertising Act: Requires that advertisements include the statement, “This is a solicitation for business. Not Affiliated with any government entity or non-profit.” This is to provide transparency and prevent misleading consumers.
California Wildfire Public Model Act: Establishes a public catastrophic model for wildfires.
Insurance and Wildfire Safety Act: Requires future insurance commissioners to regularly update regulations based on new fire science and public input.
FAIR Plan Stability Act: Allows the FAIR plan to access catastrophic bonds, adding an extra layer of financial stability to the plan.
Savings Accounts for Mitigation and Catastrophes Act: Creates a tax-exempt savings account for consumers where they can set aside funds for home hardening and insurance deductibles.
The press release can be found here.