According to fire insurance California law, insurance companies are expected to submit a rate filing report that documents the losses they’ve experienced and also what they expect to pay due to such losses.
Insurers in California make use of a system called FireLine from Verisk Analytics to assess the potential risk to insured properties
. The system considers three factors (fuel, slope, access) when anchor text for external linking goes heredetermining the fire risk to a property. Insurance companies can now tell which homes within a block are more susceptible. As a result, some individuals have seen their rates decreased while others have seen their rates sky-rocket.
Furthermore, the state of California is a highly competitive marketplace. If an individual is dropped by their current insurer because their area is considered too much of a risk, they can seek coverage from other numerous that offer fire insurance. Residents of extreme high-risk areas can obtain bare-bones fire coverage via the State’s FAIR plan.