What is fire risk doing to home insurance in LA and Orange County?
More homes are ending up on the California FAIR Plan, the insurer of last resort, as regular insurers write fewer policies. In LA County: 155,267 homes on the FAIR Plan in 2026, up from 81,530 in 2022. In Orange County: 27,241 homes on the FAIR Plan in 2026, up from 4,533 in 2022, about 6 times as many. State Farm and Allstate still aren't writing new home policies in California. The fire-hardening work that earns insurance discounts is also what State Farm's filing to reopen asks for.
The hazard zone, the department that inspects, past fires nearby and every rule that applies to your home.
Homes on the FAIR Plan
The FAIR Plan is California's insurer of last resort, set up by statute to provide basic property insurance when regular insurers won't. Ask an agent what a FAIR Plan policy leaves out for your home.
LA County: 155,267 homes on the FAIR Plan in 2026, up from 81,530 in 2022.
Orange County: 27,241 homes on the FAIR Plan in 2026, up from 4,533 in 2022, about 6 times as many.
Check an address to see the figure for its ZIP code.
Insurers pulling back
- New policies
- State Farm has not written new home policies in California since May 2023, and Allstate since November 2022. In September 2026 both filed to return; the Department of Insurance says they are not open for new business yet.
- Reopening
- State Farm's filing would reopen statewide for homes that meet the IBHS Wildfire Prepared Home standard, so fire-hardening work may decide who can buy a policy.
- Rates
- Allstate's California home rates rose 34.1% on average in November 2024 under a settlement with the Department of Insurance.
Home values
One study of California sales from 2015 to 2022 found that homes in disclosed high fire hazard zones sold for about 4.3% less than similar homes outside them. It is a working paper, not yet peer reviewed, and it describes averages, not any one home.
What owners can do
- Earn the discounts
- Under Safer from Wildfires, insurers must discount a Class A roof, ember-resistant vents, a noncombustible base along the walls, a clear first 5 ft and defensible space.
- Meet the new standard
- State Farm's filing to reopen ties new policies to the IBHS Wildfire Prepared Home standard. Ask a partner what your home needs to meet it.
- Shop through an agent
- A licensed agent or broker can quote the insurers still writing in your ZIP. You apply to the FAIR Plan through an agent or broker registered with it.
Sources
- California FAIR Plan, residential policies in force by ZIP, Sept 30 2022–2026, read November 9, 2026
- California Department of Insurance, alert on State Farm and Allstate filings (Sept 18, 2026), read November 9, 2026
- California Department of Insurance, Allstate rate settlement (CDI File No. PA-2023-00011), read November 9, 2026
- California FAIR Plan, read November 9, 2026
- California Department of Insurance, Safer from Wildfires, read November 9, 2026
- Ma, Walls, Wibbenmeyer and Lennon, Risk Disclosure and Home Prices: Evidence from California Wildfire Hazard Zones (Resources for the Future working paper 23-26), read November 9, 2026
General information, not legal advice. Your fire department and city have the final word for your property.
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