California Commissioner Orders Cancellation Moratorium for Wildfires

August 2, 2022

California Insurance Commissioner Ricardo Lara this week ordered insurers to preserve residential insurance coverage for the county of Mariposa following Gov. Gavin Newsom’s emergency declaration.

Lara’s order shields those properties within the perimeter or in adjacent ZIP Codes of the Oak Fire from insurance non-renewal or cancellation for one year from the date of the governor’s July 23 declaration regardless of whether they suffered a loss. The Oak Fire has currently destroyed 124 homes and 66 outbuildings.

“Homeowners should not have to scramble to find fire insurance while suffering the effects of a wildfire,” Lara said in a statement. “By taking this immediate action and forbidding insurance companies from issuing non-renewals and cancellations for one year, Mariposa County homeowners will have more time to get back on their feet. This is one part of a larger solution for consumers that includes working to expand insurance protections and increasing market competition to help protect consumers.”

The moratorium order includes 11 ZIP codes impacting an estimated 8,000 residential policyholders and the entire county of Mariposa. Some policyholders in Madera and Merced counties are also affected.