The California insurance commissioner expanded the emergency protections covered by his recent moratorium for Southern California residents affected by wildfires.
Commissioner Ricardo Lara added new zip codes to his mandatory one-year moratorium on insurance non-renewals and cancellations. The update now covers residents in the zip codes affected by the Palisades, Eaton, Hurst, Lidia, Sunset and Woodley fires, along with adjacent zip codes as well.
"I am using my moratorium powers to prevent insurance companies from canceling or non-renewing policies in wildfire-impacted areas, so people don't face the added stress of finding new insurance during this horrific event," Lara said. "My staff and I are working on all fronts to make sure wildfire victims get the benefits they are entitled to, and they get it as soon as possible."
Last Thursday, Lara issued his first wave of protections after the Palisades and Eaton fires broke out. If a homeowner received a non-renewal notice from their insurance company between Oct. 9 and Jan. 7, they will be covered under Lara's moratorium.
"Your insurance company should do the right thing and retain you as a valued policyholder," Lara said.
Lara also called on insurers to extend their 60-day grace period for homeowners to pay their insurance premiums.
To help residents facing problems with their health insurance, Lara issued a notice to all California health insurers instructing them to submit emergency plans to his department.
"These plans must detail how they're going to ensure that consumers can continue to access essential medical care and obtain their medications in the wake of these disasters," Lara said.
Lara's final element in his Sustainable Insurance Strategy is also now in effect and enforceable. His office said it is the "state's largest insurance reform in 3o years."
"The new Net Cost of Reinsurance in Ratemaking Regulation requires insurance companies -- for the first time -- to increase coverage in high-risk areas, ensuring more options for Californians while limiting the costs passed on to consumers," Lara's office.
The Los Angeles District Attorney's Office also announced a new rapid response initiative that is aimed at combatting and prosecuting insurance fraud targeting wildfire survivors.