CNN Business, August 18, 2024, Burned And Uninsured: Wildfires Are Leaving California’s Housing Market In Trouble
Since 2015, the California Department of Insurance has kept a record of the number of renewed and canceled policies in the state’s high fire-risk areas, which make up more than a quarter of the state. They recorded an increase in canceled policies until the most recent report published in 2022, with the sharpest increase being 10% in 2019.
When policies aren’t being canceled altogether, insurance rates sometimes rise by exorbitant amounts. California’s largest insurer, State Farm, requested a 30% rate increase for its homeowner’s line last month. This came a year after State Farm completely stopped selling insurance for new homes, citing wildfire risks. State Farm did not respond to a request for comment from CNN.
