Residential property insurance: nonrenewals

Insurers must explain nonrenewal decisions in plain language and give policyholders more time to respond. The law also limits nonrenewals based solely on certain claims, coverage inquiries, or roof age.

What the law does ​

• Requires most residential property nonrenewal notices at least 90 days before expiration, up from 75 days.
• Requires detailed explanations, supporting nonaerial imagery, and, on request, inspection findings or reports used in a nonrenewal decision.
• Requires insurers to disclose wildfire risk scores or classifications and the property and surrounding-area factors behind them when wildfire risk contributes to nonrenewal.
• Requires insurers to give at least 120 days' notice and at least 90 days to remedy a fixable underwriting issue, submit information, and qualify for renewal.
• Lets policyholders dispute, correct, or amend information used in a nonrenewal decision and request an onsite inspection for property-condition disputes.
• Prohibits nonrenewal solely because of specified unpaid, below-deductible, uncovered, prior-owner, or mitigated claims; a coverage inquiry; or roof age when an independent inspection confirms at least five years of useful roof life.
• Requires insurers to annually report specified nonrenewal-remediation data by county and ZIP Code, and requires the department to publish aggregate annual results.

Who it affects ​

• Homeowners and other residential property insurance policyholders.
• Insurers writing residential property coverage in California.
• The California Department of Insurance and Insurance Commissioner.

Context ​

Most provisions become operative January 1, 2028.