SB1301 - Residential property insurance: nonrenewals.

Amended IN Assembly August 13, 2026 Amended IN Assembly June 25, 2026 Amended IN Assembly June 18, 2026 Amended IN Senate May 14, 2026 CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION Senate Bill No. 1301 Introduced by Senator Allen (Principal coauthor: Senator Pérez) (Principal coauthor: Assembly Member Harabedian) (Coauthor: Senator Wiener) (Coauthors: Assembly Members Connolly and Schiavo) February 20, 2026 An act to amend, repeal, and add Section 678 of, and to add Sections 676.11, 676.12, 676.13, and 676.14 to, the Insurance Code, relating to insurance. LEGISLATIVE COUNSEL'S DIGEST SB 1301, as amended, Allen. Residential property insurance: nonrenewals. Existing law creates the Department of Insurance, headed by the Insurance Commissioner, and generally regulates classes of insurance, including residential property insurance. Existing law requires an insurer to deliver to the named insured an offer of renewal, as specified, at least 45 days before the policy expiration and to deliver a notice of nonrenewal at least 75 days before the policy expiration. If the insurer fails to do so, existing law requires the existing policy, with no change in its terms and conditions, to remain in effect for 75 days from the date that the notice of nonrenewal is delivered or mailed to the named insured. Existing law requires nonrenewal notices to contain specified information. This bill would, beginning January 1, 2028, require an insurer to either deliver to the named policyholder an offer of renewal or a notice of nonrenewal or a notice of renewal with a reduction of limits or an elimination of coverage under of the policy at least 90 days before the policy expiration. expiration, except as provided. The bill would require the notice to contain specified information, including all information related to the basis for the nonrenewal or the reduction of limits or elimination of coverage, nonrenewal, as specified. If the insurer fails to deliver an offer or notice a notice of nonrenewal to the named policyholder, the bill would require the existing policy to remain in effect for 90 days from the date the offer of renewal is delivered or the notice of nonrenewal or notice of renewal with a reduction of limits or an elimination of coverage is delivered. If an insurer finds that a policy does not meet its underwriting guidelines due to a condition that can be remedied by the policyholder, the bill would require the insurer to deliver or mail to the named policyholder a notice at least 120 days before the policy expiration that includes an explanation of any remediation, additional information, or other change to the property that would qualify the policyholder to obtain renewal of the policy or to maintain the existing limits or coverage of the policy. This bill would, beginning January 1, 2028, require an insurer that refuses to renew a policy or imposes a reduction of limits or an elimination of coverage to provide the policyholder with a detailed, plain language explanation of the grounds for the nonrenewal or reduction of limits or elimination of coverage and, upon request, all nonproprietary information relating to the decision of nonrenewal or reduction of limits or elimination of coverage, as specified. and all nonaerial imagery relied upon as a basis for the decision. The bill would require, upon request and within 15 days of that request, an insurer to provide any property inspection findings or property inspection reports relied upon as a basis for the decision. If an insurer finds that a policy does not meet its underwriting guidelines due to a condition that can be remedied by the policyholder, the bill would require the insurer to provide the policyholder with a period of not less than 90 days to perform the necessary remediation or other change to the property or to provide additional information. The bill would prohibit an insurer from refusing to issue or renew, or determine eligibility for, renew a residential property insurance policy solely on the basis of certain claims, on the basis of the policyholder’s previous inquiry, or on the basis of the age of the roof under certain circumstances. On or before April 1, 2029, and annually thereafter by that date, this bill would require an insurer to submit to the commissioner a report for the previous calendar year containing specified information, including the number of policies for which the insurer elected not to renew or imposed a reduction of limits or an elimination of coverage. information. On or before September 1, 2029, and annually thereafter by that date, the bill would require the commissioner to prepare and publish on the department’s internet website an aggregated report for the previous calendar year of the information reported by insurers. Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill Text The people of the State of California do enact as follows: SECTION 1. Section 676.11 is added to the Insurance Code, to read: 676.11. (a) This section applies only to residential property insurance policies specified in Section 675. (b) (1) An insurer that refuses to renew a policy or imposes a reduction of limits or an elimination of coverage shall provide the policyholder with a detailed, plain language explanation of the grounds for the nonrenewal or the reduction of limits or elimination of coverage. Upon request, the insurer shall also, within 15 days of the request, provide the policyholder with all nonproprietary information relating to the decision of nonrenewal or reduction of limits or elimination of coverage, including, but not limited to, all nonaerial imagery or other documentation relating to the decision and all sources of such information, nonaerial imagery, and documentation. nonrenewal. An insurer shall also provide the policyholder with all nonaerial imagery relied upon as a basis for the decision and, upon request and within 15 days of that request, any property inspection findings or property inspection reports relied upon as a basis for the decision. (2) (A) If the nonrenewal is due in whole or in part to an assessment of the wildfire risk associated with the property, the insurer shall provide the policyholder with their wildfire risk score or other wildfire risk classification, including the following, as applicable: (i) A plain language description of each property-specific characteristic that led to the determination. (ii) A plain language description of each surrounding area characteristic that led to the determination, including a map of those characteristics in any parcel larger than the property size used to assess the property’s wildfire risk and the property’s placement within it. determination. (B) This paragraph does not require the insurer to provide information that they provide to the policyholder in connection with the wildfire risk score or other wildfire risk classification pursuant to Section 2644.9 of Title 10 of the California Code of Regulations. (c) (1) If an insurer finds that a policy does not meet its underwriting guidelines due to a condition that can be remedied by the policyholder, the insurer shall shall, at least 120 days before the policy expiration, provide the policyholder with both of the following: (A) A detailed, plain language explanation of any remediation, additional information, information to provide, or other change to the property that is consistent with the insurer’s underwriting guidelines and that would qualify the policyholder to obtain renewal of the policy or to maintain the existing limits or coverage of the policy, along with a detailed, plain language explanation of the action to be taken by the policyholder or the additional information to be provided by the policyholder. policy, along with direction on how to provide evidence of that action or other change, or the information. (B) A period of not less than 90 days to perform the necessary remediation or other change to the property or to provide additional information. (2) An insurer may contact the policyholder to verify that the policyholder will be performing remediation or another change to their property pursuant to this subdivision. (3) Following any efforts of remediation, the policyholder shall furnish the insurer evidence of remediation. If the insurer seeks additional verification, the insurer may perform an onsite physical inspection or virtual inspection of the property to verify remediation at the insurer’s expense. (4) Remediation, additional information, or other change to the property completed in accordance with the explanation provided to the policyholder under subparagraph (A) of paragraph (1) that is verified by the insurer shall qualify the policyholder for renewal of the policy or to maintain existing limits or coverage. policy. (5) The insurer shall issue a written determination within 15 days of receipt of additional information or evidence of any remediation or other change to the property. (d) (1) The insurer shall provide a policyholder a reasonable opportunity to dispute, or to correct or amend any inaccurate or incomplete information relied upon by the insurer in connection with, a decision to not renew or to impose a reduction of limits or an elimination of coverage of a policy. (2) A If the dispute concerns the condition of the property, a policyholder may request that the insurer conduct an onsite physical inspection of the property to verify the information relied upon by the insurer in connection with a decision to not renew or to impose a reduction of limits or an elimination of coverage of a policy. a policy. The policyholder may, at their sole discretion, use a process made available by the insurer other than an in-person physical inspection to verify the accuracy, persistence, and validity of the conditions pertaining to the decision to terminate coverage. (3) The insurer shall issue a written determination within 15 days of receipt of any dispute, correction, or amendment. (e) A nonrenewal or a reduction of limits or elimination of coverage of a policy shall not take effect during a period of remediation under subdivision (c). (3) The insurer shall acknowledge receipt of any dispute, correction, or amendment within 10 days and shall issue a written determination within 30 days of the acknowledgment of receipt. (f) (e) This section shall become operative on January 1, 2028. SEC. 2. Section 676.12 is added to the Insurance Code, to read: 676.12. (a) This section applies only to residential property insurance policies specified in Section 675. (b) On or before April 1, 2029, and annually thereafter by that date, an insurer shall submit to the commissioner a report for the previous calendar year containing the following information for policies written in California: (1) The number of policies in each of the following categories: (A) New policies. (B) Renewed policies. (C) Policies for which the policyholder elected not to renew. (D) Policies for which the insurer elected not to renew or imposed a reduction of limits or an elimination of coverage. (E) Canceled policies. (2) For each policy under subparagraph (D) of paragraph (1), the insurer shall additionally include the following aggregated information: (A) The number of policies for which the insurer provided the policyholder with an explanation of any remediation, additional information, or other change to the property that is consistent with the insurer’s underwriting guidelines and that would qualify the policyholder to obtain renewal of the policy or to maintain the existing limits or coverage of the policy, pursuant to subdivision (c) of Section 676.11. a notice pursuant to subdivision (b) of Section 678. (B) The number of policies for which the policyholder performed any of the actions described in subparagraph (A) and whether those actions resulted in a renewal of the policy or a nonrenewal of the policy. provided the insurer evidence of any of the actions described in the notice provided under subdivision (b) of Section 678 and whether those actions resulted in a renewal of the policy. (c) The policy information reported pursuant to subdivision (b) shall be listed by county and ZIP Code. (d) For the report that is due by April 1, 2029, the report shall only include the required information collected beginning January 1, 2028. (d) Nothing in this section shall require an insurer to submit to the commissioner information the insurer has already provided for the calendar year in question. (e) On or before September 1, 2029, and annually thereafter by that date, the commissioner shall prepare and publish on the department’s internet website an aggregated report for the previous calendar year of all information reported by insurers pursuant to subdivision (b). (f) This section shall become operative on January 1, 2028. SEC. 3. Section 676.13 is added to the Insurance Code, to read: 676.13. (a) (1) An insurer shall not refuse to issue or renew, or determine eligibility for, renew a residential property insurance policy solely on the basis of any of the following claims by the applicant or policyholder or any previous owner or occupant of the property to be insured: (A) A claim that is filed but is not paid or payable. (B) A claim that is within the claimant’s deductible. (C) A claim that is not covered by the policy. (D) A claim that is paid in full by another insurance policy or a third party. (E) (D) A claim concerning a property that is no longer owned by the applicant or policyholder. (F) (E) A claim by the applicant or policyholder in which the loss was not the direct result of intentional conduct or gross negligence by the applicant or policyholder and for which the risk of loss has been mitigated through the removal of the hazard, the repair of the damage or defect, or other changes to the property or to the condition that caused the loss. (2) Subparagraphs (A) and (B) of paragraph (1) do not apply if the applicant or policyholder has had at least three claims regarding the same damage, defect, or other condition of the property over the previous three years. (b) An insurer shall not refuse to issue or renew, or determine eligibility for, renew a residential property insurance policy based in whole or in part on whether a policyholder has previously inquired about the insurance policy, including, but not limited to, an inquiry concerning the scope or nature of coverage available under the policy. (c) For purposes of this section, “residential property insurance” means the insurance described in subdivision (a) of Section 675. (d) This section shall become operative on January 1, 2028. SEC. 4. Section 676.14 is added to the Insurance Code, to read: 676.14. (a) Beginning January 1, 2028, an insurer shall not refuse to issue or renew, or determine eligibility for, a residential property insurance policy solely on the basis of the age of the roof if the policyholder obtains and pays for an independent [Text truncated for display. Full text available on Congress.gov.]