Daily P&C Insurance News
California Edition

AB 888 establishes the California Safe Homes Grant Program to help low- and moderate-income homeowners fund ember-resistant work and fire-safe roof replacements. This intersects with new requirements for residential policies to include at least 10% building code upgrade coverage starting July 1, 2026.[1]

SB 495 requires insurers to pay 60% of contents coverage limits (up to $350,000) to wildfire survivors experiencing total loss without an item-by-item inventory. The law extends proof of loss deadlines to 100 days after a declared emergency and mandates advance payments for additional living expenses.[1]

AB 226 authorizes the California FAIR Plan to access catastrophe bonds and lines of credit to ensure reliable claim payments after major disasters. FAIR Plan policyholders gain the same rebuilding timelines and protections as standard policies, including extended additional living expense coverage up to 36 months.[1]

SB 547 extends one-year non-renewal protections previously available only to homeowners to businesses, HOAs, condos, affordable housing, and nonprofits after fires. This law aims to provide stability for commercial policyholders facing California’s insurance market challenges.[2]

Governor Newsom issued an executive order directing state agencies to accelerate solutions for California’s homeowners insurance crisis, focusing on market volatility and wildfire mitigation. Five major insurers have pledged to expand coverage in the state amid ongoing challenges.[3]