California is in the midst of a home insurance crisis, industry experts say, and a government oversight agency is giving recommendations on rebuilding the market.
A report released this month by the independent government agency Little Hoover Commission outlines over a dozen recommendations to state leaders.
“The package of changes described in this report will help ensure that the system better serves the homeowners of California,” Commissioner Janna Sidley, who served on the subcommittee that led the study, said in a statement.
The report—sent to Gov. Gavin Newsom and other state leaders this month—lists 11 recommendations for reforming California’s home insurance market, including allowing insurers to use catastrophic modeling to set insurance rates under regulation and public oversight. California is the only state that prohibits insurers from using catastrophic models to set insurance rates, it said….