State Farm and Allstate have filed plans with California regulators to resume writing new homeowners insurance policies. The move could expand options for Folsom and El Dorado Hills residents who have struggled to find coverage.

Insurance Commissioner Ricardo Lara announced the filings Wednesday, Sept. 16. Neither company is accepting new applications yet, and both filings remain under review by the California Department of Insurance (CDI).

State Farm General, the state's largest home insurer, filed updated guidelines that would let it consider applications from homeowners whose properties carry a Wildfire Prepared Home designation from the Insurance Institute for Business & Home Safety (IBHS).

Homes with the program's Enhanced designation could qualify statewide. Homes with the less stringent Essential designation could qualify in low- and moderate-wildfire-severity areas, according to ABC10.

Both IBHS tiers require homeowners to clear vegetation and flammable materials within five feet of the home and install ember-resistant vents, the San Francisco Chronicle reported. The Enhanced level goes further, requiring non-combustible doors and decks and moving detached structures at least 30 feet from the main house.

If approved, State Farm plans to reopen for new business in December, capping new applications at 7,500 per year, according to the Chronicle. The company did not request a rate increase alongside the filing.

State Farm stopped writing new California policies in May 2023, citing wildfire risk and rising construction costs. In 2024, it began dropping just under 30,000 customers statewide. The company insures about 15 percent of all California homes, according to the Chronicle.

Allstate, which has not written new California homeowners policies since late 2022, submitted its own Sustainable Insurance Strategy filing Aug. 31. The CDI said it will review Allstate's plan and continue discussions about reopening at a larger scale.

What it means locally

The filings arrive as communities in El Dorado County harden homes against fire. The county's $25 million Weber Creek Project, approved by FEMA in 2023, retrofits homes with fire-resistant materials. Homeowners are eligible for up to $40,000 in work under the program, NPR reported in April.

Those retrofits could now carry a financial payoff beyond safety. State Farm's newsroom said homeowners who earn a Wildfire Prepared Home designation may qualify for premium discounts, and some properties previously ineligible for coverage could become eligible.

Lara called the filings a positive signal but cautioned that work remains. "A filing is a starting point, not a finish line," Lara said in a statement. "My Department will continue to be aggressive in our review until these companies are writing policies at the scale Californians need, especially in the communities that need them most."

The CDI said 12 insurance groups have now filed or received approval under the state's Sustainable Insurance Strategy. The California FAIR Plan, the state's insurer of last resort, had nearly 700,000 active policies as of June 2026, according to the Mendo Voice. FAIR Plan policyholders face a rate hike of just under 30 percent starting in October, according to the Chronicle.

Homeowners interested in the IBHS Wildfire Prepared program can learn more and apply at wildfireprepared.org. No approval date has been set for either insurer's filing.