Existing law generally regulates classes of insurance, including homeowners' insurance. Existing law creates the Department of Insurance, headed by the Insurance Commissioner.
This bill would require the commissioner to convene a working group, on or before July 1, 2023, to study the feasibility, potential implications, and advisability of allowing admitted insurers to offer homeowners' and commercial property insurance policies that include a deductible for covered losses resulting from wildfires. The bill would require the commissioner to identify industries, including, but not limited to, farming, that have struggled to obtain affordable commercial property coverage due to increased wildfire risk and require the working group to study the utility and risks a commercial policy containing a deductible for wildfire losses could have for these industries.
This bill would require the working group to include, among other things, representatives from the insurance industry. The bill would require the commissioner to prepare a report, on or before July 1, 2024, summarizing the working group's findings and recommendations, and to post that report on its internet website.

Statutes affected:
AB2450: 2079 INS
02/17/22 - Introduced: 2079 INS
04/18/22 - Amended Assembly: 2079 INS
AB 2450: 2079 INS