Last week’s announcement of a deal to help stabilize the insurance market for homeowners living in wildfire-prone areas, including in Nevada County, is getting some praise from local officials. County Supervisor Heidi Hall has been an advocate at the state as well as federal levels. She says it should push more companies to take on more customers in high-risk areas. And she says allowing them to use catastrophe modeling in setting premiums is critical in bringing more back into the market…

click to listen to Heidi Hall

But that will also allow rates to rise more. Hall points out that California already has some of the lowest rates in the country, due to such state regulations as voter-approved Proposition 103. That includes requiring the insurance commissioner to review any increases above seven-percent. Hall says this is actually a nationwide and global issue. But she’s not seeing any similar progress from federal leaders and officials…

click to listen to Heidi Hall

Starting in December of 2024, the Department of Insurance will require companies to write up at least 85-percent of their statewide market share in high wildfire risk areas selected by the commissioner. They must also return homeowners using the FAIR plan, considered the state’s insurer of last resort, to the regular insurance market.