Got a non-renewal notice? Here’s what to do next

A non-renewal letter means your insurance company won’t offer you a new policy when the current one ends. It’s stressful, but it isn’t a cancellation: your coverage stays in force until the expiration date, and California law gives you time to replace it.

How much notice you get

For most residential property policies, California insurers must mail or deliver a non-renewal notice at least 75 days before the policy expires (Insurance Code §678). The notice has to:

• State the specific reason the company is not renewing
• Give a phone number for the insurer’s consumer complaint line
• Explain that you can ask the California Department of Insurance (CDI) to review it, at 1-800-927-4357 or insurance.ca.gov
• Include information about the California FAIR Plan, Difference in Conditions (DIC) policies, and the CDI’s Home Insurance Finder

If the insurer misses the deadline, your current policy, with no change in terms, stays in effect for 75 days after the notice is delivered or mailed.

Step 1: Read the reason

The reason tells you where to start. Some are about the property, such as roof age, brush clearance, or older electrical or plumbing. Others are about the company, such as a decision to write fewer policies in your area. If the reason is something you can fix, ask the insurer whether completing the work would change its decision. There’s no guarantee, but it’s worth asking, and the fix often helps with the next company too.

Step 2: Check for a wildfire moratorium

After a declared wildfire emergency, the Insurance Commissioner can order a one-year moratorium in nearby ZIP codes. During a moratorium, insurers can’t cancel or non-renew residential policies in those ZIP codes because of wildfire risk. The CDI posts each moratorium and its ZIP code list on insurance.ca.gov. If your ZIP code is listed and the reason is wildfire risk, contact your insurer.

Step 3: Start shopping right away

Don’t wait until the last few weeks. Underwriting can take time, and some companies need photos or an inspection first. As an independent agency, we can check several options for you:

1. Standard (admitted) insurance companies that are still writing new homeowners policies in your area
2. Surplus lines (non-admitted) companies that cover homes the standard market won’t
3. The California FAIR Plan plus a DIC policy, as a last resort, when nothing else is available

Have your current declarations page, the non-renewal letter, and any recent updates to the roof, electrical, plumbing or heating ready. It speeds things up.

Step 4: Don’t let coverage lapse

If you have a mortgage, your lender requires continuous coverage. If your policy ends with nothing in place, the lender can buy “force-placed” insurance and charge you for it. Those policies tend to cost more and mainly protect the lender’s interest, not your belongings or liability. Line up the new policy so it starts the same day the old one ends, and send proof of insurance to your mortgage servicer.

Step 5: If something seems wrong

If the notice came late, gives no clear reason, or you think the non-renewal is improper, contact the insurer first. If that doesn’t resolve it, you can file a request for help with the CDI.

We can help

If you’ve received a non-renewal, call us at (949) 525-0570 or send us your details. We’ll look at what’s available for your home and walk you through the options.

This article is general information, not legal advice. Your policy and notice control your specific situation.

Sources: California Insurance Code §678; California Department of Insurance: California FAIR Plan