Wildfire Insurance: What Homeowners Need to Know

Do You Need Wildfire Insurance?

Standard homeowners insurance typically covers fire damage, including wildfires. However, in high-risk areas like California, Colorado, and Oregon, insurers may deny coverage, non-renew policies, or charge significantly higher premiums.

What Wildfire Insurance Covers

A standard homeowners policy covers: structural damage to your home, damage to attached structures (garage, deck), personal property loss, additional living expenses (ALE) if you're displaced, and debris removal. However, separate structures like sheds or fences may have sub-limits.

California's FAIR Plan

If you can't find coverage in the private market, California's FAIR Plan provides basic fire insurance as a last resort. Similar state-backed programs exist in other high-risk states. FAIR Plan policies typically offer less coverage at higher costs than standard policies.

Tips for High-Risk Areas

Create defensible space around your home (at least 100 feet in California). Use fire-resistant building materials. Install ember-resistant vents. Document your belongings with photos and video. Review your policy annually and ensure replacement cost coverage, not actual cash value.