High Net Worth · Wildfire Insurance
The California admitted market has retreated from wildfire-exposed areas, but the private client market has not disappeared — it has become more selective. Here is how coverage actually works for $2M–$10M+ homes, what drives underwriting decisions, and what your options are when a standard carrier says no.
High-value California homes have more options than the FAIR Plan. We access private client admitted carriers, surplus lines carriers, and the full E&S market to find coverage that fits a $2M–$10M+ property — including wildfire-exposed locations where standard homeowners carriers have withdrawn.
The California Market in 2026
The California residential insurance market has undergone a structural shift since 2022 that shows no sign of reversing quickly. State Farm, Allstate, Farmers, AIG (in certain segments), and several regional carriers have significantly reduced or eliminated their California homeowners books, primarily driven by wildfire risk concentration and the regulatory constraints that prevented carriers from pricing risk adequately under Proposition 103.
For standard homes in low-risk areas, this market dislocation primarily means higher premiums and fewer choices. For high-value homes — particularly those in the wildland-urban interface communities that define North San Diego County (Rancho Santa Fe, San Marcos, Elfin Forest, Valley Center), LA County (Malibu, Pacific Palisades, Topanga, Altadena), or the Bay Area hills (Orinda, Moraga, Los Altos Hills) — the dislocation is more acute. Carriers that wrote $5M–$10M homes in those areas without question five years ago are now asking detailed questions about construction, roof age, defensible space, and community fire protection resources.
The private client market is not the same as the standard market. Chubb, PURE, and AIG did not exit California the way State Farm did. They tightened underwriting. There is an important distinction: a carrier that has exited California will not write your property regardless of its characteristics. A carrier that has tightened underwriting will evaluate your property's specific risk profile and may still offer terms if that profile is favorable. High-quality, well-maintained luxury homes with Class A roofs, documented defensible space, and fire-hardened construction are still attractive accounts for private client carriers — the question is whether your specific property qualifies.
The 2025 Palisades and Eaton fires accelerated this dynamic. The combined economic loss from these events exceeded $50 billion, with significant losses concentrated in high-value communities. Carriers paid claims on homes valued at $5M–$20M. Underwriting scrutiny in affected and adjacent zip codes increased materially following these events, and several carriers tightened California appetite further in their 2026 renewal cycles.
Underwriting Factors
Understanding what carriers evaluate allows you to present your property's best case — and to make targeted improvements that can change an eligibility decision.
Roof material and age. This is the single most significant physical characteristic in a wildfire underwriting submission. Wood shake roofs are uninsurable with virtually all private client carriers. Older composition shingles (15+ years) carry meaningful risk. Class A fire-resistive materials — concrete tile, clay tile, metal roofing, Class A composition — are strongly preferred and may be required for eligibility in certain zip codes. A roof replacement to Class A material can change a declination to an offer in many cases. Document the roof installation with permit and contractor records.
Defensible space. California law requires 100 feet of defensible space for homes in state-designated fire hazard areas. Carriers verify compliance — often through aerial imagery or inspection — and properties without documented defensible space face underwriting difficulty. The inner 30 feet (Zone 1) is most critical: this area should be clear of combustible vegetation against the structure, with well-irrigated, fire-resistant plantings. The outer 70 feet (Zone 2) requires reduction of fuel density, not necessarily clearing. Document defensible space with current photographs showing the structure, Zone 1 and Zone 2 conditions.
Construction and opening protection. Stucco or masonry construction is preferable to wood siding. Attic and foundation vents with standard wire mesh are a primary ember intrusion pathway — ember-resistant vents (1/16-inch mesh or finer) substantially reduce this risk. Attached wood decks with combustible material stored beneath them are an ignition risk. These details matter to underwriters reviewing high-value properties because they distinguish between a home that will likely survive moderate ember exposure and one that won't.
VHFHSZ designation. California's Very High Fire Hazard Severity Zone maps are publicly available and are the first filter underwriters apply. Properties within mapped VHFHSZ face higher scrutiny regardless of their physical characteristics. Properties outside VHFHSZ in the same general area may have fewer underwriting obstacles. The VHFHSZ designation is based on historical fire behavior modeling and does not perfectly predict individual property risk — it is a screening tool, not a final determination.
Water supply and fire department proximity. Properties served by a local fire district with hydrant access are preferred over properties dependent on private water storage and long fire department response times. For rural estate properties, water storage tanks (10,000 gallons minimum is a common threshold) can substitute for hydrant access in carrier underwriting. The ISO fire protection class rating for the property's fire district is a standard underwriting input.
Active Protection
Chubb's Wildfire Defense Services, PURE Response, and AIG's Wildfire Protection Unit all operate contractor crews that dispatch to policyholder properties during active wildfire events. These programs represent a meaningful differentiator for high-value home coverage — not because they guarantee survival, but because they meaningfully improve odds in scenarios where public fire resources are overwhelmed.
What crews do during a wildfire event:
Limitations to understand: These services are dispatched based on carrier-contracted crews and are not guaranteed for every event. In a large regional fire affecting thousands of properties simultaneously — like the 2025 Palisades and Eaton fires — crew availability is constrained. Properties in core dispatch zones are prioritized. Crews operate under evacuation orders; they do not remain at properties when doing so is not safe. The programs work best for properties where there is enough lead time and crew availability to treat the structure before the fire front arrives.
Chubb's program has the most established track record — it has operated in California since the late 2000s and has protected properties during multiple major events, including Wine Country fires, Camp Fire, and Santa Ana wind events in SoCal. PURE and AIG run well-regarded programs as well. When evaluating carriers, ask specifically about whether the wildfire defense program covers your property's geographic area and what the activation process is.
When Private Client Carriers Say No
Even well-maintained, well-constructed homes in certain California zip codes face difficulty obtaining coverage from admitted private client carriers. For those properties, the market extends to surplus lines carriers and, as a last resort, the California FAIR Plan plus a Difference in Conditions policy.
Surplus lines carriers — also called non-admitted or E&S (Excess and Surplus) carriers — are not subject to CDI rate and form approval and can underwrite more freely. For high-value homes in California's most challenged wildfire zones, surplus lines represents a significant portion of the available market. Key surplus lines options for high-value homes include Lloyd's of London syndicates (which collectively write billions in California property), Palomar Specialty (which has built a focused California HNW book), and other specialty E&S programs. Surplus lines premiums are typically higher than comparable admitted coverage, and there is no California Insurance Guarantee Association backstop in the event of carrier insolvency — carrier financial strength ratings (AM Best A- or better) matter more in the E&S market.
The FAIR Plan for high-value homes is a coverage-of-last-resort with real limitations. It covers fire only — not liability, water damage, theft, or additional living expenses. The California FAIR Plan raised its residential dwelling limit to $20M in 2024, which makes it more accessible for higher-value properties than it was previously. A DIC (Difference in Conditions) policy layered on top provides the missing coverages — liability, water damage, loss of use — but the combined FAIR Plan plus DIC product is typically more expensive and structurally inferior to a comparable E&S private client policy. For a $5M home, the FAIR Plan plus DIC is a reasonable bridge when nothing else is available, but it should not be the first option explored.
Loss of use coverage is worth emphasizing for high-value homes. After a major wildfire loss, rebuilding a $5M–$10M custom home in California typically takes 24–36 months — permitting, architectural drawings, custom materials, and construction sequencing all extend timelines significantly. Additional living expenses during that period — equivalent housing in a comparable community — can run $20,000–$50,000 per month. Confirm that whatever policy you place has an adequate loss of use / additional living expenses limit and that it does not cap out before rebuilding is complete.
Common Questions
All three are still writing in California, but underwriting in Very High Fire Hazard Severity Zones has tightened significantly. Eligibility depends on roof material, defensible space, construction type, and proximity to fire services. Properties with favorable characteristics on these factors have better prospects. A broker who regularly submits to all three markets can tell you which carriers are most likely to offer terms based on your specific property.
A non-renewal does not mean you are uninsurable. The replacement market for high-value California homes includes other admitted private client carriers, surplus lines carriers, and the FAIR Plan plus DIC. For high-value homes, surplus lines and other admitted private client carriers are almost always preferable to the FAIR Plan route. Act before your expiration date — the more time you have, the more options are available.
Wildfire defense services dispatch crews to treat and monitor policyholder properties during active fire events — applying fire-retardant gel or foam, clearing gutters and vents, and monitoring through evacuation. Chubb, PURE, and AIG all operate these programs. They are not guaranteed for every event but have documented records of protecting properties. Confirm that your carrier's program covers your geographic area.
The California FAIR Plan provides fire-only coverage and raised its residential dwelling limit to $20M in 2024. A DIC policy layered on top adds liability, water damage, and loss of use. For high-value homes, the combined FAIR Plan plus DIC is a last-resort option — it is typically more expensive and less comprehensive than a surplus lines admitted-equivalent policy. Exhaust surplus lines options before defaulting to the FAIR Plan route.
Roof replacement to Class A fire-resistive material is the highest-impact single improvement. After that: documented 100-foot defensible space, ember-resistant vents (1/16-inch mesh), and non-combustible deck material. Document all improvements with photos, permits, and contractor records — this documentation directly supports your underwriting submission and can change an eligibility decision.
Tell us about your property and we will work every available market — admitted private client, surplus lines, and FAIR Plan — to find coverage that actually fits a high-value California home.