Insurance experts will speak at City Hall: what you need to know about the upcoming changes

Michelle Allyn
2024 President
Santa Barbara Association of Realtors

2024 was a turning point for our insurance market. Insurance companies, large and small, have left
The state will not renew existing policies or has just stopped accepting new homeowners insurance policies.
Here in Santa Barbara County, we have been hit especially hard given that large portions of our county
designated as high or very high fire hazard areas. When there is so much bad news about terrible
insurance situation, what can a homeowner or business owner do?

Throughout 2024, California Department of Insurance Commissioner Ricardo Lara tried
to ease the insurance crisis. He negotiated a “historic deal” that would allow insurance
companies will use new technology tools to set rates, but only if those companies insure more homes against wildfires
areas. Will this “historic deal” help the Santa Barbara region?

It’s hard to understand. Currently, insurance companies determine risk by analyzing historical data.
in other words, they use past events and statements to get an idea of ​​the frequency and severity
risks. If this new deal becomes a reality, insurance companies will use catastrophe models to estimate
exposure to risk in a portfolio. This means that insurance companies will use models to estimate the future.
catastrophic events when valuing your property.

What I explained above is just a snapshot of the “historic deal” but I think it’s better if you hear it.
directly from the Department of Insurance office to understand new policy requirements and obtain expert information
information and solve your problems.

I would like to personally invite you to the Let’s Talk Insurance: Community Council Meeting on Wednesday.
November 13, starts at 17.30. You can register for this FREE event at www.sbaor.org.

Michelle Allyn is the owner and manager of Allyn & Associates Real Estate and Lending, a brokerage and mortgage company serving Santa Barbara, California’s Central Coast, Ventura, Riverside, San Diego and Greater Los Angeles County. Michele has been a member of the Santa Barbara Association of Realtors since 1973 and currently serves as President of the Board of Directors. Contact Michelle at 805-895-5101 or [email protected].