The bill introduces amendments to Massachusetts home insurance regulations, focusing on wind deductibles and flood coverage. It mandates that insurance companies provide clear disclosures regarding mandatory wind deductibles, which can be as high as 5% of the coverage amount, particularly affecting policyholders in coastal areas. Additionally, the bill encourages insurers to offer premium credits or reduced deductibles for homeowners who implement risk mitigation measures, such as installing hurricane shutters. The bill also emphasizes the importance of the National Flood Insurance Program (NFIP) and aims to raise awareness among homeowners about flood risks, noting that many remain uninsured despite the mandatory requirement for homes in high-risk areas with federally backed mortgages.

Furthermore, the bill includes new legal language regarding the collection and reporting of home insurance data, specifically targeting cancellations and nonrenewals in urban and coastal areas. It requires the Massachusetts Division of Insurance to compile and report aggregate data on cancellations and nonrenewals, as well as claims history for policies renewed and nonrenewed in these regions for the calendar year 2023. The report reveals significant figures, including 95,847 policy cancellations and 9,248 nonrenewals, with a notable portion initiated by policyholders. The bill also mandates that insurers provide at least 45 days' notice before nonrenewing a policy, aiming to enhance transparency and understanding of the home insurance market dynamics in Massachusetts.