Insurance Journal: Wildfire Insurance Bill Signed by California Governor

Tuesday, August 28, 2018

Insurance Journal


California Gov. Jerry Brown on Monday signed into law a bill that is intended to combat what are believed underinsurance issues revealed by 2017 wildfires.

AB 1797 by Assemblyman Marc Levine, D-Marin County, is expected to create a requirement for insurers writing residential property insurance to conduct a replacement cost estimate on an every other year basis.

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“We heard from wildfire survivors about the devastating realization of being underinsured due to inaccurate or outdated replacement cost models used by insurers,” Levine said in a statement. “After facing the most destructive wildfires in state history, Californians should not have to begin the recovery process underinsured. California has prioritized protecting consumers and helping prevent underinsurance.”