California expands insurance protections in wildfire areas

More than a million California homes are now protected under a law that temporarily bans insurance companies from dropping customers in areas affected by wildfires.

Posted: Dec 19, 2019 8:49 AM

SACRAMENTO, Calif. (AP) - More than a million California homes are now protected under a law that temporarily bans insurance companies from dropping customers in areas affected by wildfires.

Officials announced Wednesday that the state insurance commissioner has expanded an order he made last month to extend protections to 200,000 additional homes. The moratorium lasts for a year.

It only covers people who live in or next to the perimeter of one of 16 wildfires that burned in October.

Thousands of homes have been destroyed in recent years by devastating wildfires.

Those claims have cost insurers, who responded by dropping fire insurance policies for many homeowners who live in wildfire-prone areas.

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