According to CBS Sacramento, though the California drought is currently over, there are still plenty of negative effects impacting homeowners across the state.
California estimates that there are more than 100 million dead trees due to the drought, which makes them extremely susceptible to wildfires. State officials say they have noticed an increase in residents who received non-renewal notices from their insurance companies.
“If I don’t get homeowners insurance, unfortunately, it will eventually push me into foreclosure,” said Greg Staab, a retired volunteer firefighter.
Typically, most insurance policies require that the insurers provide advance notice of non-renewal with the notice requirements ranking from 10 to 75 days depending on various circumstances and non-renewal jurisdictions.
“The whole situation with the drought and the larger fires we have been seeing across the Sierra, that is a clear and present concern for insurance companies,” added John McEldowney, a program manager with the Placer County Office of Emergency Services.
Luckily, a proposed bill could protect California homeowners from losing their homeowners and fire insurance policies.
According to ABC 7, State Senator Bill Dodd proposed a bill that would require insurance companies to renew a one-year policy at least twice after a home located in a disaster zone has been destroyed.
Additionally, State Senator Ricardo Lara proposed another bill that would prevent insurance companies from dropping o not renewing homeowners whose properties escaped damage from a fire or other disaster.
Insurance officials representing California homeowners stated that it’s currently reviewing the proposed legislation, but is skeptical about the reform.
“So far, we have seen no evidence other than anecdotal evidence that there is a problem getting insurance in the entire state of California, including those areas that have recently suffered disasters,” added Mark Sektnan, from the Property Casualty Insurers Association of America.