2017 Railroad Fire in Madera and Mariposa Counties
Credit: Madera County Sheriff's Office file photo
November 16, 2024 - The Rural County Representatives of California (RCRC) reports on Thursday, November 14th, California Insurance Commissioner Ricardo Lara announced that his office had sent the final version of his proposed regulations on catastrophe modeling for insurance ratemaking to the state Office of Administrative Law for approval. The new regulations, which Commissioner Lara hopes will stabilize the insurance market and expand options for property insurance customers throughout the state, allows insurers to utilize catastrophe models in their ratemaking processes in exchange for meeting prescribed commitments to increase policy coverage in high-risk areas of the state.
Related: Rural County Representatives of California (RCRC) Announces State Commission Adopts Report on Property Insurance Crisis
The regulations have been in development since early 2024 as the California Department of Insurance (CDI) engaged stakeholders, including RCRC, and received public input. Earlier this year, Commissioner Lara also announced plans to work with Cal Poly Humboldt to develop a statewide catastrophe model to help with transparency and enable property owners to better understand their own risk.
The new regulations should be in effect by the end of 2024, with review of the new catastrophe models beginning January 1, 2025. For more information visit the CDI website.
ABOUT RURAL COUNTY REPRESENTATIVES OF CALIFORNIA (RCRC)
The Rural County Representatives of California (RCRC) is a thirty-seven member county strong service organization that champions policies on behalf of California’s rural counties. RCRC is dedicated to representing the collective unique interests of its membership, providing legislative and regulatory representation at the State and Federal levels, and providing responsible services for its members to enhance and protect the quality of life in rural California counties. To learn more about RCRC, visit rcrcnet.org and follow @RuralCounties on Twitter, Facebook and Instagram.
Source: RCRC