Homeowners insurance in California

California home insurance is designed to protect you from common perils in California – including wildfires. Your home insurance policy provides coverage for:

• The dwelling
• Other structures on the property
• Your personal items
• Loss of use of your home

Typically, the structure of your home is insured on an “open perils” basis (which covers any event that isn’t specifically excluded by the policy), while personal property is insured on a “named perils” basis (which only covers perils named in your policy). However, you may be able to add an endorsement to cover your personal property on an open perils basis.

According to the Insurance Information Institute and the California Department of Insurance, homeowners in California pay $1,403 per year on average for home insurance. Much of that cost is due to the potential for weather-related damage from wildfires, earthquakes, and storms. However, every home is different, so the cost of California home insurance can vary greatly.

While California law doesn’t require homeowners to buy home insurance, your mortgage lender almost certainly will as a way to protect its financial interest in your home. Plus, home insurance is a good way to protect your own financial interest since Caifornia sees a good number of wildfires, earthquakes, and storms that could damage your home.

Many aspects of your home will impact your home insurance policy, including

• Location
• Age (year built)
• Construction materials
• Square footage
• Frame type

In addition, many California homes face the risks of wildfires and severe storms. Unfortunately, these weather risks are growing, and that makes insuring your home more essential than ever.

In addition to standard homeowners coverage for your dwelling, additional structures, and liability, you should also consider expanding your coverage with several key endorsements, including:

• Animal liability in case your pet bites a guest
• Identity fraud protection to cover expenses related to identity theft
• Water backup coverage for damages caused by water entering your home through public utilities and septic systems