State insurance department to address homeowner policy crisis
As homeowners face skyrocketing insurance rates and abysmal coverage options, a town hall on fire insurance in Humboldt County is Feb. 22. Second District Supervisor Michelle Bushnell, who pressed for the meeting, called for the public to attend to tell state officials in the California Department of Insurance about their experiences.
“I'm really hopeful that constituents will show up to this virtual meeting and say `help us,' ” said Bushnell.
The town hall will host representatives from the California Department of Insurance, United Policyholders, University of California Cooperative Extension of Humboldt/Del Norte Counties and Cal Fire. Participants can ask questions on how the state is addressing the homeowner insurance crisis and learn about emergency preparedness in their area.
Bushnell said homeowners in her district, which includes Southern Humboldt, have seen their home policies dropped by insurance companies. More are being forced to insure their homes through the FAIR Plan, an expensive last resort for homeowners who live in areas insurance companies otherwise won't touch. She said others face higher and higher costs, and some who've paid off their mortgage go without insurance due to the prohibitive price, a hard decision for residents. She noted that people on fixed incomes are vulnerable to becoming homeless when the rates go up.
Bushnell said in the past few years the situation in Humboldt County has gotten much worse, and real estate agents haven't been able to close escrows because insurance companies don't want to insure areas “that are, quote-unquote, (in) high-risk fire areas,” she said. She noted a constituent couldn't get fire insurance in downtown Fortuna.
Bushnell said that for the system to change, state action is needed, and noted that the industry has a monopoly.
“What I'm saying and what other supervisors and elected (officials) are saying to the insurance commissioner, who's also elected, help us out, we need some help here,” she said.
She called for legislation
to control the insurance industry.
Humboldt County is not unique in the crisis facing residents of California, especially in rural areas. Some state action has been called for by advocacy groups, legislators and the governor in response to the crisis. CalMatters reported the insurance industry cites a combination of inflation, climate change and devastating
IF YOU GO
What: Virtual town hall on homeowner insurance
When: Thursday, Feb. 22 from 5:30 to 6:30 p.m.
Where: Register and ask questions at bit. ly/02222024
More information: Go to https://humboldtgov.org/ civicalerts.aspx?AID=5460 wildfires and regulations as why rates are skyrocketing.
Sage Alexander can be reached at 707-441-0504