Sonoma County homeowners are facing the steepest insurance hikes in the Bay Area, as wildfire risks continue to reshape the local real estate market.
The Press Democrat reports a new study reveals that median home insurance premiums in Sonoma County have spiked nearly 40% over the last decade—the highest jump in the nine-county Bay Area. To the north, the situation is even more dire; Lake and Mendocino counties have seen rates climb as much as 86% following years of catastrophic fires.
While the median annual cost in Sonoma is around $1,834, those in high-risk zones on the state’s FAIR Plan are paying averages of $6,400. State regulators recently began allowing insurers to use “climate modeling” to set rates, a move designed to keep insurance companies from leaving California. However, consumer advocates warn that while this might make policies easier to find, it is almost certain to keep prices climbing.
Experts say the rising costs are already impacting home values, leaving many low-income residents to choose between paying for protection or putting food on the table.
