California to require insurance discounts for property owners who reduce wildfire risk

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California to require insurance discounts for property owners who reduce wildfire risk
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New rules mandate that insurance companies reward consumers who take wildfire safety and mitigation actions under the state’s Safer from Wildfires framework. Here's what the framework includes:

Yet, ratepayers in recent years have complained that companies have been unwilling to credit them for steps taken to lower the risk of loss and damage, such as clearing combustible vegetation from properties or installing fire-resistant roofs., dozens of people told the Department of Insurance that their rates had become untenable, with some seeing quotes of as much as $20,000 a year.

The companies must also provide consumers with their property’s “wildfire risk score” and create a right to appeal that score. The regulation received support from several community groups and associations, including California Professional Firefighters, the Coalition for Clean Air, the California Farm Bureau and the California Assn. of Realtors, according to the Department of Insurance.

“Giving people a financial incentive to do their part is a critical and fair step to getting ‘all hands on deck’ to save homes and lives,” she said.

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