Navigating California's Changing Insurance Landscape Amidst Increasing Climate Risks

California's extreme wildfires have led to a lack of home insurance options for residents as climate risks increase. Some insurance companies are either refusing new applications or leaving the market altogether. Homeowners in fire-prone areas are experiencing significant rate hikes, with premiums doubling in some cases. The limited number of major insurance companies remaining in California has resulted in higher prices, as there is less competition to counterbalance the increased fire risk. Insurance companies are still recovering from past wildfire disasters, leading to the need for higher premiums to recoup losses. Home insurance prices rose by 7% last year and are expected to increase by 9% in 2023 due to inflation and the rise in natural disasters and severe weather.