Too pricey due to natural disasters, pretty nuts. Sounds like premiums will creep up excessively if large companies aren’t biting interested in the market right now.
The problem is rising risk, the state requiring Cadillac policies as its bare minimum, and refusing to allow premiums to rise. The only solution to that trifecta is Sacramento buying the risk.
My premium went up 50% last year due to rising risk and I'm not in a fire or flood zone or high crime area... On my end at least I don't see Sacramento limiting premiums.
CDI approves every rate change. Between marginally higher risks, inflation, new costs (e.g. re-capitalising the FAIR Plan for people who like living inside wildfires) and the risk that future rates won't be approved, the cost basis is likely quite a bit higher than 50%, particularly if you take into account prior years covered by the pandemic rate-hike moratorium [1].