Michael Lynch
President, Private Client Services
The past decade has seen catastrophic impact from wildfires across California, from the 2018 Camp Fire in Northern California to the recent 2025 Camp Fire, Palisades Fire, and Eaton Fire that ravaged several areas of Los Angeles.
The increasing number of severe events and the astronomical cost associated with damages has put an unprecedented strain on the state’s insurance market.
Proper insurance regulation and updated pricing has become a hot button topic. Rates are not keeping up with the changing exposure, and the process to get rate increases is making it difficult for carriers to respond and keep up.
Admitted carriers licensed and approved by California’s Department of Insurance are one of the few options, in addition to non-admitted carriers sometimes referred to as surplus carriers. These carriers operate outside state regulations and guarantees, with higher premiums and less advantageous terms, but are many homeowners only option to be insured.
As the insurance industry continues to collaborate with local governments, builders and community organizations to address this growing issue, homeowners are encouraged to focus on risk management, invest in strategies to improve their risk profile, and reassess current coverage to identify gaps and enhance protection.
Marsh McLennan Agency’s West region President of Private Client Services, Mike Lynch, was featured in a recent San Diego Business Journal article about the future of wildfire insurance coverage in California.
Read the full article in the San Diego Business Journal.
