Homeowner policy denial based on lack of fire hydrant Steve Shumaker asked 1 week ago
Homeowner policy denial based on lack of fire hydrant

Is there statutory guidance regarding denials based on the lack of public services, such as hydrants within a certain distance? We attempted to obtain a new homeowners policy and went through the entire process, including an in-depth inspection of the property, with no issues noted. We were then denied due to the lack of a hydrant within 1,000 feet, even though we have a dedicated water system set aside for fire response and multiple fire stations within 10 miles. This is a rural address.

Can this decision be appealed? Are there statutes that address this issue? I have not seen this situation described in any of the forum question.

1 Answers
Joel Laucher Joel Laucher Expert answered 4 days ago
0 Vote Up Vote Down

Hi Steve,

California insurers are generally allowed to use objective underwriting standards that relate to the risk of loss, including proximity to a fire hydrant, fire station access, road conditions, and other wildfire-related factors. These standards must be applied consistently and comply with California insurance regulations.

If you believe the insurer’s information is inaccurate – for example, the hydrant distance was measured incorrectly, a water source was overlooked, or other fire-protection features were not considered – you can ask the insurer to review or reconsider the underwriting decision and provide any supporting documentation regarding your dedicated fire-suppression water supply and local fire protection resources.

California regulations require underwriting rules to be based on objective factors and applied uniformly. (See California Code of Regulations, Title 10, §2360.0 et seq.) Whether the insurer must consider alternative water sources or mitigation measures depends on its filed underwriting guidelines.

If the insurer will not reconsider the decision and you believe the underwriting determination was based on incorrect information or was applied unfairly, you may contact the California Department of Insurance for assistance and guidance.

Good luck, Joel