zipradar

Learn

Wildfire insurance in 2026 — why premiums spiked and what to do

If you live in a Western state with wildfire risk, your homeowner's insurance has likely changed in the last 24 months. Premiums have doubled in many high-WHP counties; some major insurers (State Farm, Allstate) have stopped writing new policies in California entirely. Here's what's happening and what you can do.

Published 2026-04-25 · Last reviewed 2026-04-25 · methodology

Why insurers retreated

California's 2017–2020 fire seasons cost the industry ~$50B in claims. Insurers determined existing premiums were 30–50% too low for the actual loss expectancy.

California's Proposition 103 limits insurers' ability to raise rates without state approval. The state Department of Insurance approved larger rate hikes in 2024–2025 but many insurers had already paused new business.

Oregon, Colorado, and parts of Washington / Idaho / Montana / Utah / NM saw similar (smaller) shifts.

What's available now

FAIR Plan: state-mandated insurer of last resort. Higher premiums + bare-bones coverage (typically wildfire-only). California's FAIR Plan grew from 200k policies (2018) to 750k+ (2024).

Surplus-lines (excess and surplus) carriers: non-admitted insurers. More flexible but not state-guaranteed.

Mutual / cooperative carriers: USAA, Amica, Travelers continue writing in many high-WHP areas with strict underwriting.

How to lower your premium

Defensible-space documentation: photos of compliant 0–5/5–30/30–100 zones (per the 'wildfire-hazard-potential-and-home-defense' explainer). Some insurers credit 5–15%.

Class-A roof: upgrade if you have wood shake. Some insurers refuse to write wood-shake roofs in high-WHP zones.

Hardened exterior: ember-resistant vents, enclosed eaves. State Farm specifically credits these in CA.

FireWise community certification: if your community is FireWise USA-certified, ask insurers about credits.

What zipradar shows

Wildfire Hazard Potential (USFS) for the community. Use it to anticipate insurer underwriting.

We don't show individual insurer pricing — that's quote-by-quote. But knowing your WHP rating before you call is useful.

Related zipradar topics

More from /learn/