Why California Insurers Cancel Policies — and the Inspections That Keep Your Coverage

California's insurance squeeze, in plain terms

If your carrier has raised your rate, demanded an inspection, or non-renewed you outright, you're not alone. After years of catastrophic wildfire losses, major insurers have stopped writing new California homeowners policies and have non-renewed tens of thousands of existing ones. The state's FAIR Plan — the insurer of last resort — has absorbed the overflow, growing sharply.

The carriers still writing coverage have responded by becoming far more selective. Where a policy once renewed automatically, insurers now want proof that a home isn't an outsized risk — and they're using inspections to get it.

What insurers now want verified

Underwriting tends to flag older homes — commonly 20 to 30+ years — and any home with an aging roof or an older electrical panel. When that happens, the carrier asks for verification of specific things:

The four inspections that protect your coverage

Each of these is documentation an insurer may ask for — and all four are part of our Insurance Inspections service:

Got a letter from your insurer? Here's what to do

1. 1Don't ignore it. Inspection and non-renewal letters carry deadlines — missing one can mean losing coverage.
2. 2Read exactly what they want. A 4-point? A roof report? Panel verification? The letter usually names it.
3. 3Book the inspection promptly — or send us the letter and we'll tell you what's needed.
4. 4Submit the report before the deadline, on the carrier's form whenever they provide one.
5. 5Keep documentation of any repairs or upgrades — receipts and permits strengthen your position.