California Insurance Regulations January Update

Commissioner Lara orders insurance companies to provide advance payments on claims to speed recovery for wildfire survivors

JANUARY 23, 2025 – Earlier today, Insurance Commissioner Ricardo Lara issued a bulletin to all California insurance companies to help expedite the recovery process for wildfire survivors affected by several recent fires in Southern California, including the Palisades and Eaton fires.

Under laws that Commissioner Lara strongly supported, policyholders who have suffered a total loss in the Southern California wildfire emergency are entitled to advance payments on their claims. Many have already received these upfront payments for personal belongings and additional living expenses with some companies providing more than the law requires.

However, the California Department of Insurance has recently received numerous consumer complaints indicating that some insurance companies and their adjusters are not fully complying with these crucial consumer protection laws.

Click here to read the full release and to learn more.

Previous CDI communications about Insurance/ Insurance bill/ State Farm’s California Coverage Changes:
CDI Invitation to Workshop (November, 2024)
Mandatory Moratorium on Cancellations and Non-Renewals of Policies (November, 2024)
CDI Invitation to Workshop (March, 2024)
CDI Workshop Draft (March, 2024)
CDI Consumer Alert (March, 2024)
AB-2996 introduced by Assembly Member Alvarez
State Farm Pulls Out of California