Navigating the Insurance Crisis: Essential Tips for California Homeowners

California homeowners are facing an insurance crisis as major insurers like State Farm and Allstate have stopped signing new home policies in the state. Other insurance providers are also opting not to renew policies, citing reasons such as the age of the structure or wildfire risk. Homeowners are advised to shop around for alternative insurers or consider the FAIR Plan, an insurance policy of last resort. New regulations require insurance companies to provide homeowners with their "wildfire risk score" and offer discounts for wildfire mitigation measures, but there is a loophole that allows companies to non-renew policies instead. The debate centers around Proposition 103, with insurance companies claiming it hinders their ability to raise rates, while consumer advocates argue that insurers are using climate change as an excuse to evade public scrutiny and increase rates. Public policy solutions may be necessary to address the insurance crisis in California.