Don't encroach on wilderness/semi-wilderness by building housing in forests.
From the cat bond/reinsurance mavens at Artemis, April 26:
US insurer Allstate has said that it will resume underwriting policies in California once new regulation has been enacted that allows it to price using forward-looking catastrophe risk models and include the costs of reinsurance within its rates, Bloomberg has reported.
New regulations are set to be enacted in California in response to what has been seen as an insurance crisis with carriers exiting the state after taking heavy wildfire and weather losses in recent years.
As we’ve previously reported, the rules are set to allow the use of forward-looking catastrophe models and to expand catastrophe model use to cover additional perils, while additional regulation is expected to enable insurance carriers to factor in their costs of reinsurance cover into their policy pricing as well.
Both of these issues, the inability to leverage modern catastrophe models for pricing and to price sufficiently to afford the cost of reinsurance, have been cited by a number of major carriers that have pulled-back on writing business in California in recent years.
Now, Bloomberg has reported that Allstate is ready to return, on the condition the new regulations are passed....
....MUCH MORE
