How To Find the Cheapest Home Insurance in California for Wildfires

Shopping around and comparing quotes from multiple homeowners insurance companies is the best way to secure coverage for wildfires at the most affordable price possible in California. In particularly high-risk areas, insurers may charge prohibitively high rates or may not cover wildfires at all, potentially leaving the state’s insurer of last resort as your only option for securing California wildfire insurance.

Keep reading to learn more about obtaining wildfire insurance for homeowners in California, including what kinds of coverage options are available and how much you may have to pay for a policy.

On This Page

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  What Is California Wildfire Insurance?

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  Does the State of California Provide Wildfire Insurance for Residents?

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  What Does Wildfire Home Insurance Cover?

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  How Much Does Wildfire Insurance Cost for Homeowners in California?

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  How To Find the Cheapest Wildfire Home Insurance in California

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  How To Make a Wildfire Home Insurance Claim in California

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  FAQs

What Is California Wildfire Insurance?

Wildfire insurance is not available as a standalone insurance product, but residents of California can generally obtain coverage for wildfire damage to their homes and belongings by purchasing broader insurance policies. In most cases, wildfires are among the perils covered by a standard homeowners insurance policy.^[1]

However, homeowners insurance companies in California are allowed to exclude coverage for wildfires as long as the policyholder signs a document acknowledging that their policy does not cover fire damage.^[2]

As a result, Californians living in areas with an especially high wildfire risk may not be able to find sufficient wildfire coverage from a standard home insurance carrier.

How Does California Wildfire Home Insurance Work?

Your home’s exposure to wildfire damage will impact your eligibility for homeowners insurance coverage and the amount you have to pay for a policy. Since underwriting decisions are based on the risk associated with your home, an insurance company could opt to remove fire coverage from your policy or decline to cover your property altogether if it deems the risk of paying out a wildfire claim too high for it to profitably insure your home.

Even if you are eligible for a home insurance policy that covers fire, you can expect to pay higher premiums if you live in a region that is prone to wildfires. That said, new regulations passed by Insurance Commissioner Ricardo Lara in December 2024 require California insurers to offer a minimum number of policies in high-risk areas based on their market share, which may make it easier for consumers to shop around for lower rates from private insurance carriers.^[3]

Does the State of California Provide Wildfire Insurance for Residents?

While the government does not directly offer wildfire coverage in California, homeowners who can’t find coverage from a traditional home insurance company at an affordable rate may qualify for coverage through the Fair Access to Insurance Requirements (FAIR) Plan. The California FAIR Plan was established by the state government in 1968, though it is funded jointly by every licensed carrier in California’s property and casualty insurance industry rather than by tax dollars.^[4]

FAIR Plan policies can insure the structure of your home and your belongings against fire, lightning, explosions and smoke. If you’re willing to pay a higher premium, you can also secure coverage for additional perils, such as vandalism.^[5] However, California FAIR Plan insurance doesn’t offer any of the other coverages included in a typical homeowners policy.

Despite providing limited coverage, the California FAIR Plan tends to be more expensive than standard homeowners insurance because FAIR Plan policyholders are generally high risk.^[6]

For this reason, you should not even consider the FAIR Plan unless you have exhausted all options on the private market. Even then, it is advertised as only a temporary solution until an affordable private policy becomes available.^[5]

What Does Wildfire Home Insurance Cover?

Home insurance for California wildfires includes the following six coverage types that can step in after a destructive inferno:

• Dwelling: Dwelling coverage insures your house and any structures directly attached to it in case they are damaged or destroyed by a wildfire.
• Other structures: Any structures that aren’t connected to your home — such as sheds and fences — may be insured against wildfire damage by your other structures coverage.
• Personal property: Unless specifically excluded, fire should be one of the perils that your personal property insurance covers, meaning your insurer will reimburse you through your personal property coverage if your clothes, furniture, electronics or any other items are lost due to a wildfire.
• Loss of use: If your home is declared uninhabitable due to wildfire damage, your loss of use insurance can temporarily cover costs like hotel stays, restaurant meals and laundromat expenses while you wait for your home to be repaired.
• Personal liability: Personal liability insurance provides coverage for medical bills, lost wages, property repairs and legal expenses as needed in the event that you are held liable for injuring someone or damaging their property. For example, if a forest fire starts after you leave a bonfire unattended on a windy evening and ends up damaging your neighbor’s home, personal liability insurance could cover your legal fees if your neighbor sues you for negligence.
• Medical payments: Medical payments coverage takes care of medical bills for minor injuries someone incurs on your property, regardless of whether you are held liable. For example, medical payments coverage could step in if a guest wanders into the woods on your property and experiences minor burns after a bushfire flares up.

What Isn’t Covered?

Home insurance generally doesn’t cover explosions from acts of war, nor does it cover intentional losses, like setting your own home on fire in an attempt to collect a fraudulent insurance check. In addition, you should keep in mind that wildfire damage to your car is covered by comprehensive auto insurance rather than home insurance.

Finally, you should note that neglect and lack of maintenance are also typically excluded from homeowners insurance coverage. For example, if your roof was already in poor condition prior to a wildfire, your insurance company may not cover the full costs of replacing it if it happens to be destroyed by fire damage.

How Much Does Wildfire Insurance Cost for Homeowners in California?

California residents pay an average of $1,480 per year for homeowners insurance, though you can likely expect to pay more if your area has an above-average risk of experiencing a wildfire.^[7] Meanwhile, the average annual cost of FAIR Plan coverage coupled with difference in conditions (DIC) insurance was about $3,200 in 2022, according to a California FAIR Plan public relations representative.^[6]

How To Find the Cheapest Wildfire Home Insurance in California

Although cheap California wildfire insurance can be hard to come by, you can maximize your odds of finding the most affordable home insurance policy possible by comparing rates from multiple insurance providers. Requesting quotes typically involves giving each insurer information like your address, the age of your home, the number of people living in your home and more.

It can take a long time to reach out to multiple insurance carriers, but you don’t have to when you go through SmartFinancial.

Simply fill out our online questionnaire and let us get in touch with insurance agents who can help you compare your options and hunt for California wildfire insurance discounts. Click here if you’d like to start comparing homeowners insurance quotes for free.

How To Make a Wildfire Home Insurance Claim in California

If you already have home insurance for California wildfires, you can take these steps to file a homeowners insurance claim after a wildfire affects your property:

1. Contact your homeowners insurance company to initiate the claims process and book an appointment with an insurance adjuster.
2. Collective evidence to support your claim, such as pictures and videos of the damaged property, repair estimates from local contractors and home inventories.
3. If necessary, make minor repairs to keep further damage from occurring.
4. Tell your mortgage lender that you are in the process of filing a home insurance claim.
5. Present relevant evidence during the insurance adjuster’s visit to your home.
6. Submit relevant documents to your insurance company, including repair bills and receipts for additional living expenses.
7. Keep an eye on the progress of your claim so you can take care of any issues that arise and fill out paperwork in a timely fashion.
8. Complete repairs using the money from your insurance payout, or contact a public adjuster or lawyer if you feel that your insurer owes you more money.