Why did home insurance go up in California in 2026?

Start with the rates. A standard insurer in California cannot raise them on its own: the Insurance Code says rates "must be approved by the commissioner prior to their use."

In July 2025 the Department of Insurance said wildfire catastrophes are "one factor driving up the cost of insurance rates," along with "liability, inflation, building material costs."

Two newer rules also shape your price. Since 2025, standard insurers may price with forward-looking wildfire models and count part of their reinsurance costs, the insurance that insurers buy for themselves. In return, they must commit to writing more homes in wildfire-distressed areas.

Each approved figure is an overall average. In August 2026, for example, the Department described USAA's approval as "a 6.9% overall rate increase."

Several of the largest did. The Department of Insurance posts its rate decisions, and the table below shows homeowners increases decided from December 2025 through September 30, 2026.

State Farm General's 17% homeowners increase began June 1, 2025, as an interim increase. A settlement the Department announced on March 6, 2026 kept it, and the commissioner approved that settlement on July 23, 2026.

To check your own insurer, open the Approval and Closed List on the Department's Rate Filing Approvals page. It updates within 15 days after each month ends, and each homeowners rate filing shows the change requested and the change approved.

If your home is on the FAIR Plan, why FAIR Plan prices went up covers its own rate change and discounts.

A rate change is only part of it. Your cost also depends on "choice of deductibles, application of discounts and the scope and amount of insurance coverage you purchase," the Department's consumer guide says.

Compare these lines with last year's declarations page, the summary at the front of your policy:

• A higher rebuild amount. Insurers may raise it at renewal with "an inflation factor that reflects the cost of construction" in your area.
• A Temporary Supplemental Fee. When an insurer charges it, the fee must appear as its own line, with its amount.
• A new wildfire score. Standard insurers using one must send it at least 45 days before each renewal, with its effect on your price.
• A discount that ended, such as a multi-policy discount after you moved your car insurance, or a smoke alarm or sprinkler discount.
• A different deductible, the part of a claim you pay yourself. A lower one raises the price.
• Facts about your home that changed in the insurer's records, such as square footage, year built or roof age.

Several of the drivers have nothing to do with fire. The Department lists "liability, inflation, building material costs" beside wildfire, and rebuild amounts follow construction costs wherever you live.

The Temporary Supplemental Fee applies whether or not you live near a fire zone. An approved insurer charges it as a percentage of each customer's price, for no more than two years.

An average increase is not split evenly, though. United Policyholders gives an example: a 7% overall increase might mean 15% for some homes and 5% for others, depending on the losses behind each group.

Insurers typically rate wildfire risk with a score of their own, the Department says. The guide to wildfire scores explains how to see yours and appeal it.

Use the 45 days. California law says the renewal offer must be mailed or delivered at least 45 days before the policy ends. It must also state "any reduction of limits or elimination of coverage."

If the price rose because of something the insurer learned about your home, you can ask why. California's insurance privacy law covers a higher rate charged "on the basis of information which differs" from what you gave the insurer. Ask in writing within 90 business days of the insurer's notice, and the insurer must send the specific reasons within 21 business days of your request.

Safety work can also lower the next price, and what home hardening earns shows which steps count.

When you shop, it helps to know who is writing new policies. Then work through this list, in order:

• Line up the new offer and last year's declarations page: the price, the rebuild amount, the deductible and every fee.
• Ask your insurer, in writing, which approved rate change applies to your policy and when it took effect.
• Ask for your wildfire score, the discounts it lists, and what each safety step would save you.
• Correct any wrong facts in writing, such as square footage, year built or roof age.
• Keep the rebuild amount where it should be. If it is too low and the home is destroyed, you pay the difference.
• Ask for a new rebuild estimate. Insurers selling replacement cost coverage generally must send or offer one every other year at renewal.
• Before the renewal date, get quotes from standard insurers first, then specialty insurers.