If your home insurance company chooses not to renew your policy in California, state law requires the insurer to issue a nonrenewal notice, in writing, at least 75 days before your policy expires. This advance notice gives you time to compare coverage options and avoid an unexpected gap in insurance. The law was passed in 2019 and applies to nonrenewal notices for policies expiring on or after July 1, 2020, amending the previous 45-day requirement.
If your insurer doesn’t provide the required nonrenewal notice on time, you have protections under California law. Your insurer must extend the policy for 75 days from the date the nonrenewal notice is delivered or mailed, even if it means the policy temporarily renews. This helps you maintain continuous coverage while you figure out a replacement home insurance policy.
What is California’s 75-day nonrenewal notice law?
The 75-day nonrenewal notice law requires all California homeowners insurance companies to issue any nonrenewal notices to customers at least 75 days before the policy ends. This requirement was established in Assembly Bill 1816, which amended Sections 678, 1063.1 and 10094.2, of the California Insurance Code.
If an insurer misses the 75-day deadline, the policy won’t end on the original expiration date. Instead, it will automatically continue under the exact same terms, conditions, and rate for 75 days after the notice is mailed.
What is a nonrenewal?
A nonrenewal means your insurance company has decided not to offer another policy term when your current policy expires. This is different from an insurance cancellation, which ends a policy before its scheduled expiration date.
How do you know if your notice meets the 75-day requirement?
If you receive a nonrenewal notice for your homeowners insurance policy in California, the first step you should take is to determine if your insurer met the 75-day requirement. To do so:
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Check the mailing or postmark date of the notice — or the delivery date, if the notice was sent via email.
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Check your policy’s expiration date.
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Count the days to determine if there are 75 or more days between the two dates.
If you received at least 75 days’ notice, your insurer’s nonrenewal notice meets the 75-day requirement. If the notice was sent late, California law generally extends your existing policy for 75 days from the mailing date.
You can contact the California Department of Insurance (CDI) if you believe your notice was sent too late or doesn’t meet California’s requirements.
Why are insurers sending nonrenewal notices in California?
California’s homeowners insurance market has changed significantly in recent years, with more insurers issuing nonrenewal notices and a few pulling out of the state entirely. There are a few factors driving these changes, especially in California’s high-risk areas.
Increased wildfire risk
California has experienced multiple years of severe wildfire losses. The deadly wildfires of 2017 and 2018 marked a major turning point for the state, and the highly publicized LA wildfires of 2025 only deepened the issue. Though the amount varies by year, the number of acres burned in California increased nearly 28 times between 2011 and 2020 — from 51,889 acres to 1,458,881 acres, according to CAL FIRE data.
In areas of extreme wildfire risk, some insurers are choosing not to renew any policies — or issue new ones.
Higher reinsurance costs
Though it may sound odd, insurance companies also buy insurance to help cover the cost of catastrophic losses. This is called reinsurance. Reinsurance costs have skyrocketed across the country due to the increased frequency of devastating natural disasters, from hurricanes in the South and Northeast to tornadoes in the Midwest to wildfires and earthquakes in the West.
For many years, California's rate-setting rules prevented insurers from factoring in reinsurance costs or forward-looking risk models when setting home insurance rates. Rates had to rely on historical losses alone. Insurers argued this made it harder to justify writing new coverage in high-risk areas. Under regulations Insurance Commissioner Ricardo Lara adopted in late 2024, insurers can now include reinsurance costs and approved catastrophe models in their rate filings, but only if they commit to writing more policies in wildfire-distressed areas — covering at least 85% of their statewide market share there. In July 2025, the department finished reviewing the first approved wildfire model, clearing the way for insurers to actually start using it.
Despite these changes, many insurers had already reduced or pulled back coverage in high-risk areas before the reform took effect.
Rising claims and rebuilding costs
Construction labor, materials, and rebuilding expenses have increased substantially in recent years, driven partly by labor and supply shortages during the COVID-19 pandemic. Combined with larger catastrophic losses, these rising costs mean insurers are paying more per claim — and passing that cost on through higher premiums, or pulling back from high-risk areas altogether.
Insurers have cited these inflated rebuilding costs, along with wildfire losses and reinsurance costs, as major factors affecting the state’s insurance market, according to the Little Hoover Commission.
What should you do after getting a nonrenewal notice?
If you’re dealing with a homeowners insurance nonrenewal in California, you need to act fast. The 75 days will fly by, and obtaining replacement coverage may be challenging. Here’s what to do:
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Don’t let your current policy lapse: Keep your existing coverage in place until its expiration date (or any applicable extension, if the insurer didn’t meet California’s 75-day nonrenewal notice requirement). Avoid cancelling your policy early unless your replacement policy is already active. If you have a mortgage and your homeowners insurance lapses, your lender may purchase a force-placed insurance policy to protect its financial interest. This coverage is more expensive and usually only protects the lender’s investment, not your personal belongings or liability.
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Start shopping for replacement coverage immediately: California’s insurance market can be challenging, and finding a new policy may take you longer than the last time you shopped for insurance.
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Compare more than one insurer: Look at multiple companies actively issuing new homeowners policies in your area, and compare coverage and price before choosing a replacement. If you can't find a new policy, you'll need to look into California's FAIR (Fair Access to Insurance Requirements) Plan.
What if you can’t find a new policy?
If you live in one of California’s high-risk areas, you might not be able to find coverage with any private insurers following the nonrenewal notice. In that case, you may qualify for California’s FAIR Plan.
The FAIR Plan provides access to basic property insurance when coverage isn’t otherwise available. It primarily covers losses from fire and smoke damage, and it notably lacks many other protections found in a standard homeowners insurance policy.
Because of that, you might need to pair your California FAIR Plan policy with a difference in conditions (DIC) policy from another insurer. A DIC policy should fill in the coverage the FAIR Plan doesn't include, such as liability, theft, and water damage.
Where can you get help with a nonrenewal?
If you have questions about your rights or believe your nonrenewal notice doesn’t follow California law, contact the California Department of Insurance.
The CDI offers a consumer hotline for insurance questions and complaints, and you can also use the CDI’s Home Insurance Finder online. This tool helps you find insurance companies actively issuing home insurance policies in California.
Frequently asked questions
Why are insurance companies not renewing policies in California?
More insurers are declining to renew California homeowners policies due to growing wildfire risk, rising rebuilding costs, and costlier reinsurance, which is insurance the companies buy themselves to help cover the cost of catastrophic losses, including those from wildfires.
How much notice does an insurance company have to give to cancel in California?
For most mid-term cancellations, your insurer must give at least 20 days' written notice before ending your policy. If the cancellation is due to nonpayment of premium (your cost of coverage) or fraud, that notice period drops to 10 days. Mid-term cancellations are generally limited to specific reasons like these and may only occur once your policy has been in effect for 60-plus days — insurers can't cancel your policy simply because they've reassessed your area's wildfire risk. This is different from a nonrenewal, where an insurer chooses not to offer you a new policy term. That requires at least 75 days' notice.
