HB 25-1182: Risk Model Use in Property Insurance Policies

Official summary

Abstract published by the legislature (via Open States). Text as published by the legislature; reproduced verbatim.

The act requires a property insurer that uses a wildfire risk model, a catastrophe model, or a scoring method to assign risk to: For the purposes of underwriting homeowners and other property insurance policies, adhere to specific requirements to share information with the commissioner of insurance (commissioner) and the public, include specific activities in the models, and provide notices to policyholders; Submit available data concerning the models and scoring method as required by rule of the commissioner to the division of insurance as part of the insurer's rate filings; and Ensure that specific factors are either incorporated in the wildfire risk model, catastrophe model, or combination of models or are otherwise demonstrably included in the insurer's underwriting and pricing. If an insurer does not incorporate property-specific and community-level mitigation actions into its models, the act requires the insurer to provide discounts to policyholders who demonstrate actions taken on the property to reduce the risk of loss. The act requires an insurer to post on its website information regarding premium savings that are available to policyholders who undertake property-specific mitigation actions or provide evidence of community-level mitigation actions and the process for appealing a wildfire risk score. The act requires an insurer that provides a mitigation discount or that uses a wildfire risk model or risk score to underwrite, nonrenew, price, create a rate differential, or surcharge the premium based upon the policyholder's or applicant's wildfire risk to provide an annual written notice to each policyholder or applicant for property insurance of the applicable mitigation discounts, the wildfire risk score, and any other wildfire risk classification used by the insurer to underwrite the policyholder's or applicant's wildfire risk. The insurer is required to provide the wildfire risk score or classification to the policyholder or applicant. The act authorizes the policyholder and applicant to appeal the score or classification directly to the insurer. The act authorizes the commissioner to adopt rules. (Note: This summary applies to this bill as enacted.)

Sponsors

Sponsors by party (alphabetical): Democratic 16 · 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. May 28, 2025Governor Signed
2. May 2, 2025Sent to the Governor
3. May 1, 2025Signed by the Speaker of the House
4. May 1, 2025Signed by the President of the Senate
5. April 11, 2025House Considered Senate Amendments - Result was to Concur - Repass
6. April 6, 2025House Considered Senate Amendments - Result was to Laid Over Daily
7. April 4, 2025Senate Third Reading Passed - No Amendments
8. April 3, 2025Senate Second Reading Special Order - Passed with Amendments - Committee
9. April 1, 2025Senate Committee on Business, Labor, & Technology Refer Amended - Consent Calendar to Senate Committee of the Whole
10. March 25, 2025Introduced In Senate - Assigned to Business, Labor, & Technology
11. March 20, 2025House Third Reading Passed - No Amendments
12. March 19, 2025House Second Reading Special Order - Passed with Amendments - Committee, Floor

Showing 12 most recent of 15 actions. Full history