Los Angeles Fires Become Existential Test for California’s Stopgap Insurer

This new policy is guaranteeing higher rates but not necessarily access to coverage,

said Carmen Balber, executive director of Consumer Watchdog

We have seen the cost of reinsurance has been going up due to climate risk and also inflation,

said Janet Ruiz, spokesperson for III

I know I’m not supposed to be here, but this is my parents’ home and they just lost — they got canceled from their fire insurance. So they’re dealing with this,

she told CNN affiliate KABC

Ricardo Larastate Insurance Commissioner

We are being realistic about the risks in California,

Lara told CNN Wednesday

The FAIR Plan, which is primarily a catastrophe insurer, is prepared for this and is actively serving customers who have made claims,

it said in a statement Wednesday

And they wonder why people leave California,

she added

This will set premiums fairly for consumers,

he said