The California regulation you mentioned (Title 10, Section 2644.9) aims to encourage wildfire mitigation efforts by allowing insurers to consider these efforts when setting premiums. Here’s how it might affect your home insurance:
Possible Outcomes:
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Higher Premiums: If your home doesn’t meet all the wildfire mitigation criteria, your insurance application likely won’t be rejected, but you might face a higher premium to reflect the increased risk. The insurance company will assess the specific report and determine the appropriate premium based on your property’s risk profile.
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Mitigation Requirements: In some cases, the insurer might require you to take specific mitigation steps to obtain coverage or qualify for a lower premium. They might outline these requirements based on your report.
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Reduced Coverage: Depending on the severity of non-compliance and the insurer’s policies, they might offer reduced coverage for wildfire-related damages.
Here are some resources that might be helpful:
- California Department of Insurance (CDI) wildfire mitigation information: https://www.caloes.ca.gov/office-of-the-director/operations/recovery-directorate/hazard-mitigation/california-wildfire-mitigation-program/
- Insurance Information Institute (III) on wildfire preparedness: http://www.rmiia.org/downloads/RMIIA_NM_Wildfire_web.pdf
Recommendations:
- Review the criteria: Familiarize yourself with the specific wildfire mitigation criteria outlined in Title 10, Section 2644.9. You can find the document on the California Code of Regulations website (https://govt.westlaw.com/calregs/Document/I6C093D70545D11EDABBBA91488E976A2?transitionType=Default&contextData=%28sc.Default%29).
- Improve your mitigation efforts: Even if you don’t meet all the criteria currently, take steps to improve your property’s wildfire preparedness. This can potentially lower your premium or make you eligible for better coverage in the future.
- Shop around: If your current insurer seems inflexible, compare rates and coverage options from other companies that operate in California and consider wildfire mitigation efforts.
By being proactive about wildfire mitigation, you can not only improve your chances of securing affordable insurance but also make your home safer from wildfires.