Wildfire-prone California to consider new rules for property insurance pricing

By ADAM BEAM
Associated Press

SACRAMENTO, Calif. (AP) — A new plan from California’s insurance commissioner aims to keep the nation’s top insurers from leaving the wildfire-prone state. California tightly restricts how insurance companies can price policies. Insurers can only look to the past when deciding how to set rates. They can’t consider current or future risks, like climate change. Insurance Commissioner Ricardo Lara said Thursday the state will write new rules to let insurers consider climate risks in setting their rates. In exchange, insurers will have to write more policies for homeowners who live in areas at the most risk. That includes people at risk for wildfires.