Friday, May 22, 2026

California FAIR Plan Customers Face Sharp Insurance Premium Increases in Wildfire Areas

By ANDRÈ COLEMAN, Managing Editor

Homeowners in wildfire-prone parts of California insured through the state’s FAIR Plan could soon face steep increases in insurance premiums.

The FAIR Plan — formally known as the California Fair Access to Insurance Requirements Plan — serves as the insurer of last resort for homeowners who cannot obtain coverage on the private market, often because their properties are located in areas with elevated wildfire risk.

Beginning in October, FAIR Plan policyholders are expected to see some of the largest rate increases in recent years, according to the San Francisco Chronicle. Among the hardest-hit communities is Orinda, where average premiums are projected to rise by about 31%.

For some homeowners, the increases could translate into hundreds or even thousands of dollars in additional annual insurance costs.

A spokesperson for the California FAIR Plan Association said the increases will vary by customer, but homes facing the greatest wildfire exposure are expected to experience the sharpest premium hikes.