Lose home insurance in Pierce County? Some areas are seeing a higher level of scrutiny

Homeowners in Pierce County, Washington, are grappling with increased insurance policy nonrenewals due to escalating wildfire risks, as evidenced by LeeAnn Cooper's recent experience with Progressive Insurance. Despite their high credit scores and well-maintained property, Cooper and her husband learned their home insurance would not be renewed, primarily due to wildfire risk assessments. This trend aligns with broader shifts in the Western U. S. insurance market, where insurers are reevaluating their exposure to catastrophic events, particularly as wildfires rage in places like Southern California.

Janet Ruiz from the Insurance Information Institute notes that companies utilize advanced catastrophe modeling technology to assess risks at the address level, including factors like terrain and access to fire services. The Washington State Office of the Insurance Commissioner is actively monitoring these developments, emphasizing the need for preventative measures against wildfire threats. As a result, many homeowners are turning to alternative insurance options, such as the FAIR plan, which has seen a significant increase in enrollment. This situation underscores the complexities of the insurance landscape in high-risk areas and the challenges homeowners face in securing adequate coverage. The growing reliance on alternative insurance programs reflects the urgency of addressing wildfire risks and the need for informed decision-making by homeowners.