As California insurers face new regulatory requirements for rating property coverage in wildfire-prone areas, Verisk stands ready to assist the industry in navigating the changing landscape. Verisk, a leading global data analytics provider, provides insurers with a comprehensive set of wildfire risk and mitigation data and solutions to assist them in meeting California Department of Insurance (CDI) regulations.
“Verisk is a critical resource for insurers as they seek to understand their wildfire exposure and navigate shifting risk profiles, changing market trends, and a dynamic regulatory climate,” Verisk president and COO Mark Anquillare said. “We’ve been working with our California stakeholders for over a year to develop a comprehensive set of solutions to address these developments, and we’ve accelerated our efforts since the regulation’s adoption.”
The new rule requires insurers to consider and reflect specific wildfire mitigation factors in their rating plans filed with the CDI, as well as any related wildfire risk models used in connection with such rating plans.
To assist insurers in preparing for upcoming filing deadlines:
Verisk’s wildfire risk assessment solution, FireLine®, has been enhanced to recognize all mandatory factors, including specified property-level mitigation efforts such as defensible space, as well as building hardening measures and community-level mitigation designations. FireLine also takes into account optional factors such as fuel, slope, access to firefighting resources, and wind patterns, as specified by the new regulation. The improved solution will be submitted to the CDI this year.
Is updating its ISO Rating Manuals and creating policyholder notices, all while staying in touch with customers to keep them informed and address their concerns. This year’s updates to ISO Rating Manuals will give insurers a head start on incorporating related rating credits for use with their insurance policies. Insurers will also receive advisory notices to policyholders regarding such credits.
Verisk’s collaboration with the National Fire Protection Association (NFPA), which designates areas as NFPA Firewise USA® Sites, supports the information on community-level mitigation.
“Firewise can assist insurers in understanding how communities are working to protect themselves from wildfire,” said Jim Pauley, president and CEO of the National Fire Protection Association. “By incorporating Firewise data, Verisk is assisting insurers in gaining critical insights and promoting community efforts to prioritize wildfire safety.”
Learn more about how Verisk is assisting insurers in complying with the new California regulation.
About Verisk
Verisk is a provider of data-driven analytic insights and solutions to the insurance and energy industries. Verisk empowers customers to strengthen operational efficiency, improve underwriting and claims outcomes, combat fraud, and make informed decisions about global issues such as climate change and extreme events, as well as political and ESG topics, through advanced data analytics, software, scientific research, and deep industry knowledge. With offices in over 30 countries, Verisk consistently receives Great Place to Work certification and fosters an inclusive culture in which all team members feel they belong. Visit Verisk.com and the Verisk Newsroom for more information.
About NFPA
The NFPA has been protecting people and property for 125 years.
The National Fire Protection Association® (NFPA®) is a global self-funded nonprofit organization dedicated to reducing death, injury, property damage, and economic loss caused by fire, electrical, and other hazards. In 1896, the association began its work to solve the fire problem in a young, industrialized nation, and it is now recognized globally as a leader in advocating safety. NFPA disseminates information and knowledge through more than 325 consensus codes and standards, research, training, education, outreach, and advocacy, as well as collaboration with others who share the NFPA mission. NFPA will host a Conference Series and other initiatives to commemorate its 125th anniversary, reflecting the organization’s unwavering commitment to advancing fire and life safety for the next 125 years and beyond. Visit www.nfpa.org for more information or to view NFPA codes and standards for free.