SB 877: Residential property insurance: loss estimate transparency.

Official summary

Legislative Counsel’s Digest (official, as of the latest version). Written by nonpartisan legislative staff; reproduced verbatim.

Existing law generally regulates classes of insurance, including residential property insurance. Existing law prohibits a policy of residential property insurance from being issued or renewed by an insurer unless the named insured is provided a copy of specified information, including the California Residential Insurance Disclosure. Under existing law, the California Standard Form Fire Insurance Policy requires an insured to notify every claimant that they can request copies of claim-related documents, as defined to include all valuation, measurement, and loss adjustment calculations of the amount of loss, covered damage, and cost of repairs, that the insurer is required to provide within 15 calendar days of the request. Under existing law, it is a misdemeanor to issue or countersign a fire policy that varies from the standard form fire insurance policy.

This bill would modify the definition of claim-related documents for purposes of the above-described provisions to include all valuation, measurement, and loss adjustment calculations, whether preliminary or final, that relate to the amount of loss, covered damage, and cost of repairs. Because the bill would make changes to the standard form for fire insurance, the bill would expand the scope of an existing crime and impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

This bill would incorporate additional changes to Section 2071 of the Insurance Code proposed by SB 876 to be operative only if this bill and SB 876 are enacted and this bill is enacted last.

Sponsors

Sponsors by party (alphabetical): Democratic 3 · Republican 1

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. September 27, 2026In Senate. Consideration of Governor's veto pending.
2. September 27, 2026Vetoed by the Governor.
3. September 9, 2026Enrolled and presented to the Governor at 2 p.m.
4. August 31, 2026Assembly amendments concurred in. (Ayes 39. Noes 0.) Ordered to engrossing and enrolling.
5. August 30, 2026In Senate. Concurrence in Assembly amendments pending.
6. August 30, 2026Read third time. Passed. (Ayes 78. Noes 0. Page 6941.) Ordered to the Senate.
7. August 21, 2026Ordered to third reading.
8. August 21, 2026Read third time and amended.
9. August 21, 2026Assembly Rule 69(b)(1) suspended. (Ayes 55. Noes 17. Page 6296.)
10. August 13, 2026Read second time. Ordered to third reading.
11. August 13, 2026From committee: Do pass. (Ayes 15. Noes 0.) (August 13).
12. August 13, 2026Assembly Rule 63 suspended.