The Commissioner of Securities and Insurance published an advisory memorandum reminding P&C insurers that they cannot deny or refuse to renew property insurance policies solely on the basis of wildfire risk.

The office of the commissioner has heard complaints from consumers and agents reporting that some insurers are limiting or denying coverage based on wildfire risk, and even in areas not directly affected by wildfires.

Montana Insurance Code prohibits unfair discrimination between risks of the same class and hazard, including refusals based solely on geographic location, unless supported by a legitimate business reason or legal requirement. The Commissioner emphasizes that insurers should assess each property individually and not use wildfire risk as a blanket denial justification.