Sonoma

Many areas in California are fire traps and the Sonoma Valley is an example. It is a beautiful place with thick forest and mild climate. The city of Sonoma has periodically suffered from forest fires and most of the houses were lost. The home owners using insurance money rebuild and wait for the next fire. The city allows for new homes to increase its tax base without which the city would go bankrupt. Since local government will not do anything to solve the problem insurance companies refused to offer policies but the state stepped in and demanded the insurance be offered for at least the next year. The California Department of Insurance is invoking a law passed in 2018 that bans insurance companies from dropping or refusing to renew homeowners policies in zip codes within or adjacent to the perimeters of recent fires. Mortgage companies will not offer loans on property that is not insured so the future of Sonoma hangs in the balance while regulators look for solutions.