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An aerial view shows burned properties at the Creekside Mobile Home Park after the Cache fire ripped through the area in Clearlake, California.Insurance companies can now use the climate crisis as a factor when setting home insurance prices in California. They can also add a California only reinsurance rate to premiums, according to a new plan announced yesterday by Insurance Commissioner Ricardo Lara.
“Today, there are parts of the state with no insurance company, won't even return a consumer's call, and the only option is the FAIR plan. That will change under this agreement,” he said. “California's current regulatory framework does not meet our current needs,” he said. “We need to update regulations and have them be more focused on current market conditions in order to effectively protect consumers.”Another change coming to insurance regulations: Lara announced the state is exploring allowing companies to build California-only reinsurance costs into their prices.
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