Supervisor Rowe’s editorial was originally published in the Yucaipa News Mirror on November 14, 2024.
At the June 25 San Bernardino County Board of Supervisors meeting, I introduced a resolution which called on the state insurance commissioner, governor, and legislature to implement measures to strengthen and stabilize California’s property insurance marketplace. Prompted by the voices of so many of my constituents who live in high-risk fire areas and were finding it difficult to get necessary coverage, I wanted to be sure our state leaders understood the challenges our residents face.
Following the board meeting, there was significant media coverage surrounding the resolution and Insurance Commissioner Lara personally reached out to me to assure me he wanted to help. A few days later, we scheduled a virtual town hall for the community to further engage with the commissioner and insurance experts on the issue. Little did I know that the issue would become even more critical in September, when the Line Fire ravaged more 40,000 acres, forcing the evacuation of more than 100,000 county residents and threatening homes, businesses, and critical infrastructure. Thanks to the heroic efforts of our firefighters from around the state, the fire’s path of destruction was minimized, and people returned to their homes.
However, the fires again highlight the urgency for crucial reforms which are needed to improve access, affordability, and choice. We need our state leaders to take measures to assure the long-term resiliency of the marketplace, so that everyone has the ability to obtain essential insurance for protection and peace of mind.
I continue to have a productive dialogue with Insurance Commissioner Lara and I believe he is taking this crisis seriously. Since the fires, his office issued a mandatory one-year moratorium on insurance non-renewals and cancellations for policyholders affected by the Airport, Bridge, and Line fires, including approximately 170,000 policyholders in San Bernardino County. It protects policyholders in and around the wildfire-affected ZIP codes, even if they did not experience direct loss. The Department of Insurance is collaborating with CAL FIRE and Cal OES to identify additional areas for protection in the event of future wildfires.
While the moratorium is welcome news and provides temporary relief, we still need a long-term plan. To that end, Insurance Commissioner Lara has introduced his Sustainable Insurance Strategy, a comprehensive initiative aimed at modernizing the state’s insurance market to ensure accessible insurance. It addresses issues faced by both the insurance market and consumers in California. One of the changes it includes is the introduction of catastrophe modeling. Insurance companies will be allowed to use catastrophe models in wildfire distressed areas, which will take into account the steps taken by policyholders, local governments, and businesses to mitigate wildfire risk. I hope that this will result in discounts and better pricing for residents who take necessary preventative measures.
As insurance reform continues to evolve, I will advocate strongly on this issue. I encourage residents to stay engaged, pay attention, and make their priorities known to their elected representatives.