California Lawmakers to Oppose Limits on Insurance Fire Claims

California lawmakers are lining up against Gov. Gavin Newsom’s push to rewrite how the state assigns financial responsibility for wildfires sparked by equipment owned by publicly traded utilities.

A plan backed by Democrats in the state Senate wouldn’t limit insurers from suing utility companies to recoup payouts to policyholders, according to a proposal seen by Bloomberg News.

Related: California Adopts Weaker Home Protection Rules as Wildfires Grow

Newsom has made reshaping wildfire liability one of the key legislative priorities at the end of his second and final term, pushing lawmakers to strengthen the state’s mitigation and fire recovery amid a warming climate.

His office put forward a proposal this month that would protect PG&E Corp., Edison International and Sempra, owners of utilities that face the prospect of massive liabilities if their equipment sparks fires, as well as speed up payouts to survivors and tighten safety accountability for utility executives.