LOS ANGELES — California will become the first state in the nation to require insurance premium discounts for owners of homes and businesses that are made safer from wildfires.
New rules mandate that insurance companies reward consumers who take wildfire safety and mitigation actions under the state's Safer from Wildfires framework, the Department of Insurance announced Monday. The framework includes a list of expert-recommended actions home and business owners can take to better protect themselves from fires.
The regulation is largely a response to skyrocketing insurance costs for residents in wildfire-prone areas, Insurance Commissioner Ricardo Lara said. Currently, fewer than half the insurance companies doing business in California provide such discounts.
