Christy Glenn Talks Home Owners Insurance with Art Alvarez

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Hello everyone and welcome to this week's Mortgage Minute. I'm Art Alvarez, the owner of Mortgage Works and your host. Today we have a very special guest with us, Christy Glenn from Palm Desert Insurance. We know that insurance has been a hot topic lately, especially here in California with all the recent changes. Christy, thank you for joining us. To kick things off, could you tell us a little bit about your background and what you do in the insurance industry?

Absolutely. I started my career back in 1997 with Juan Desert Insurance Agency. Later that year, my husband and I purchased the agency and that's when I discovered my passion for helping people with both personal and commercial insurance. Over the years, I focused on guiding clients to their coverage options, making sure that they're protected and helping them navigate with what sometimes can be a complicated insurance landscape. I really love being able to make insurance approachable and understandable for homeowners, business owners, and anyone looking to protect what matters most.

Thanks for sharing that, Christy. California homeowners have been hearing a lot about insurers leaving high risk areas and big rate increases. How would you describe the current state of the homeowners insurance market in our state?

The homeowner's insurance market in California is definitely in a challenging spot right now. Rates are rising, coverage is harder to find, and some insurers have actually pulled out of high risk areas, especially those prone to wildfires. A big reason is the increasing frequency and severity of wildfires. Insurers are seeing bigger losses and higher rebuilding costs, and the cost of reinsurance is also going up. At the same time, California's rules on rate increases make it harder for insurers to fully price that risk. So some insurance carriers are choosing to leave California altogether. Because of this, more homeowners are turning to the state backed care plan, which is really a last resort option. It provides coverage, but usually a higher cost and fewer benefits than a standard policy policy. For homeowners, the takeaway is clear. Premiums are likely to keep rising, shopping around and understanding of coverage is more important than ever, and taking steps to reduce risk like fireproofing the home or creating defensible space, can help. There are some positive movements too. Regulators are working on reforms to help insurers stay in the market, and a few companies are cautiously returning to certain areas. But overall, it's a marketing transition and homeowners need to be proactive to make sure that they're protected.

Governor Newsom just signed several bills aimed at stabilizing the market. Things like wildfire mitigation grants and reforms to the Fair plan. From your perspective, what should homeowners and potential buyers know about these new regulations? Are they likely to make coverage easier or more affordable?

Homeowners insurance in California has been front page news lately and for good reason. Wildfires and other risks have made coverage harder to find and more expensive. But like you said, recent reforms from Governor Newsom are starting to change that. First, there are grants and incentives for wildfire mitigation. Homeowners can get help with things like fire resistant roofs or clearing brush around the property. These improvements don't just protect your home, they can also make it easier for you to qualify for coverage or even get better terms. Second, admitted carriers are now offering discounts for wildfire hardening. That means that if you take steps to make your home more fire resistant, like installing fire safe roofing, ember resistant vents or defensible space, you could see lower premiums directly on your insurance policy. Now, this doesn't mean insurance a suddenly cheap everywhere risk is still high, so premiums remain elevated. But these reforms do make coverage more accessible and give homeowners tools to manage their risk and potentially save the money over time. The key takeaway is to be proactive, explore mitigation grants, understand your coverage options and take steps to harden your home against wildfire. Doing so not only protects your home, it also improves your chances of securing stable, affordable insurance in the years ahead.

For our viewers who already own a home or are thinking about buying, what practical steps can they take right now to protect their property and manage their insurance costs?

That's a great question for homeowners or buyers in California. There are a few practical steps that you can take right now to protect your property and manage your insurance costs. Like I mentioned before, first, invest in wildfire mitigation and home hardening. Again, things like fire resistant roofing and siding, ember resistant vents, clearing brush or creating defensible space around your home. Second, document everything. Take photos, keep reset receipts or permits for improvements. Maintain logs, vegetation management or.

Insurers often look for proof of these upgrades before offering discounts or approving coverage. Finally, review your coverage and shop around. Insurers are more likely to offer better rates or terms if they seek proactive steps to reduce risk. So in short, upgrade your home, document your work and stay proactive. These steps protect your property and can help manage insurance costs more efficiently.

Are there specific upgrades or documentation that insurers are looking for?

Yes Art Most insurance companies Admitted insurance companies are offering wildfire harmony discounts. If you are a homeowner, you should contact your insurance company and find out what documentation is needed in order to qualify for those discounts.

Finally, looking ahead, do you think we'll see more private insurers re enter the California market as these reforms take hold? Or will the Fair Plan continue to play a bigger role? What trends should our audience watch for over the next year or so?

Well, looking ahead, California's reforms are really aimed at encouraging private insurers to return to areas they had previously pulled back from. The goal is to reduce the number of homeowners relying solely on Fair Plan, which has traditionally been a last resort option. Over the next year, I expect we'll see more private carriers cautiously reentering the market, especially in areas where homeowners have made improvements that reduce risk. The Fair Plan will still play an important role for the high risk homes, but its overall share should gradually shrink as private coverage becomes more available. Key trends to watch for our premiums and policy availability, discounts for wildfire hardening and mitigation, and signs of market stability as more carriers compete. Homeowners who invest in fire resistant upgrades, document their improvements and shop around will be in the best position to benefit. In short, the market is slowly shifting back towards private coverage. But being proactive, hardening your home, documenting improvements and understanding understanding your options is the smartest way to protect your property and manage insurance costs.

Christy, thank you so much for joining us on Mortgage Minute today and sharing your expertise. It's been incredibly helpful for our viewers to understand how these insurance changes are affecting homeowners and buyers here in California.

Thank you Art. I really appreciate the opportunity to discuss the insurance market with you and I'm more than happy to help out anyone who has any questions regarding their homeowners insurance, even if they would like a review without any obligation. I'm more than happy to do that.

Thank you so much to everyone watching. If you have questions about your homeowners auto or business insurance, or if you're looking for guidance on navigating coverage in this challenging market, don't hesitate to reach out to Christy and her team at Palm Desert Insurance. They're a fantastic resource and can help you find the right protection for your needs. Thanks again for tuning in and we'll see you next week on Mortgage Minute.