The basics
Standard homeowners insurance is getting hard to find in wildfire zones across California, Colorado, Oregon, and parts of Texas. State Farm, Allstate, Farmers, and others have paused new policies or non-renewed entire ZIP codes. In 2026, the residual markets (FAIR Plans) and excess & surplus lines are doing the work standard carriers used to.
Why it matters in 2026
What still renews? Homes with defensible space cleared to 100 feet, Class A roof coverings, ember-resistant vents, hardened soffits, and at minimum a five-foot non-combustible zone around the structure. Carriers increasingly require photo proof or third-party inspections to confirm.
How it actually works
If your standard carrier non-renews, do not wait. Shop the broker-only markets first (Nationwide E&S, Lloyd's syndicates, Cincinnati Specialty), then the state FAIR Plan as a last resort. FAIR Plans typically cover only fire and basic perils — you will need a Difference in Conditions (DIC) wrap policy to add liability, theft, and water damage.
Common pitfalls
Premium expectations: a $750k replacement-cost home in a moderate wildfire zone now runs $4,500-$9,000/year, double 2022 pricing. Adding hardening work (Class A roof, defensible space, ember-resistant vents) can earn discounts of 10-20% at renewal and keep you eligible for the standard market longer.
Practical recommendations
Document everything with date-stamped photos and keep receipts for hardening work. If wildfire claims hit your region, those records can be the difference between a quick payment and a six-month investigation.
Key takeaways
- Understand the structure before you shop.
- Compare quotes from at least three carriers.
- Document everything and revisit coverage annually.
- Pair with related coverage for full protection.
Related reading on InsureLab
Sources & further reading
Frequently asked questions
What if every standard carrier non-renews my home?+
Shop the surplus lines market through an independent broker, then the state FAIR Plan as a last resort. Combine FAIR Plan with a Difference in Conditions (DIC) policy for full coverage.
Does defensible space really change my premium?+
Yes — proper defensible space, ember-resistant vents, and Class A roofing can earn 10-20% discounts and keep you eligible for standard carriers longer.
Is wildfire damage covered by standard homeowners?+
Yes, fire is a covered peril on HO-3 and HO-5 policies. The problem is finding a carrier willing to write or renew the policy in high-risk zones.
How much extra is wildfire coverage in 2026?+
Premiums in moderate-to-high risk ZIPs have doubled since 2022, often running $4,500-$9,000/year for a $750k replacement-cost home.
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