California bars insurers from dropping fire victims until 2026. What to know
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As the Palisades and Eaton fires wreak havoc on Los Angeles, the state insurance commissioner is taking action to protect home insurance policy owners. California Insurance Commissioner Ricardo Lara has barred insurance companies from dropping fire victims’ policies for one year.
![[Fire crews battle the Kenneth Fire in the West Hills area of Los Angeles. In California, a new rule says eligible home insurance policy owners cannot be dropped or issued a non-renewal until January 2026]](https://static.independent.co.uk/2025/01/10/15/AP25010094060021.jpg)
This policy comes as several large blazes, including the Palisades and Eaton fires, devastate Los Angeles County. At least 10 people are dead as the blazes destroy more than 36,000 acres as of Friday morning. Here’s everything you need to know about the new policy:.
![[A home burns on California’s Pacific Coast Highway as wildfires ravage the area. The new state rule come after thousands of homes were burned in Los Angeles.]](https://static.independent.co.uk/2025/01/10/08/SEI235505151.jpg)
Under Lara’s new policy, insurance companies can’t enact non-renewals or cancelations for residents of the areas scorched by the Palisades and Eaton fires until January 7, 2026. The rule applies to everyone living in the eligible zip codes, regardless of whether they suffered damage from the fire.
“As firefighters continue to battle wildfires across the region, the department may issue a supplemental bulletin if additional ZIP Codes are determined to be within or adjacent to a fire perimeter subject to this declared state of emergency for Los Angeles and Ventura counties,” the Department of Insurance said in a statement.
The Department of Insurance says home insurance policy owners impacted by the fires should keep receipts for all expenses during evacuation and document all conversations with insurance companies. Policy owners should also make sure all insurance agents or adjusters they work with have their licenses through the Department of Insurance.
