A California bill would allow the state-mandated FAIR Plan to request bonds and loans so that the insurer can cover damages amid the growing wildfire risk in the state.
Assembly Bill 226, also known as the FAIR Plan Stabilization Act, passed the Assembly in a 77–0 vote in April and will be heard in the state Senate Business, Professions and Economic Development Committee on June 9.
The bill would authorize bonds and loans to be issued so that the FAIR Plan can pay insurance claims in the wake of the Los Angeles fires that killed dozens of people and torched thousands of homes in January. The FAIR Plan, the state’s insurer of last resort, has dispersed approximately $1.2 billion in claims for the Palisades and Eaton Fires….