CA and FL are two big states at the leading edge of figuring out how to keep their homeowners insurance markets working in the face of increasing climate risk and losses.
FL’s market was considered approaching collapse in 2023. Most national insurers had left, the remaining insurers were mostly small companies with doubtful financial strength, premiums were rising very fast, the state’s insurer of last resort Citizens was taking on more risk than it could financially support, and I read 1/5 of homes were uninsured although I am not sure about that. In 2023/24 FL made changes to its rules/laws, including restricting the ability of homeowners to sue their insurers, and in 2024 the state said it had turned the corner with premiums starting to decline, Citizens offloading policies back to private insurers, and national insurers coming back. It is unclear if Helene or Milton changed things - there was a huge amount of damage but not that much of it was covered by insurance, so some say the insurance market “dodged a bullet”. Remains to be seen. There seems to still be concern, since the legislature is considering making Citizens the insurers for all wind damage (hurricane etc), which Citizens doesn’t want to do, claiming that would be $3TR of risk that it cannot support.
https://www.newsweek.com/florida-largest-insurer-could-forced-change-its-coverage-2018356
CA was going down a similar path, though I think things hadn’t gotten as bad as in FL, since many national insurers still did business there. In 2024 the state changed a bunch of rules, designed to allow insurers to raise rates (a lot, in high risk areas) and also to force insurers to write coverage in those high-risk areas at the new rates. Two major insurers said they would resume writing new policies. Now we need to see if the L. A. fires change things. I suspect rates will go up even more in high risk areas, and maybe overall.