California just eliminated one of the most frustrating obstacles wildfire survivors face after losing everything: The List. Governor Newsom signed new consumer protection legislation on October 11, 2025, requiring insurers to immediately pay 60% of contents coverage—capped at $350,000—without homeowners providing detailed inventories of destroyed belongings.
For anyone who’s watched their home burn, that changes everything. Trying to remember every item you owned while living in temporary housing? That’s over.
Insurance Commissioner Ricardo Lara called the reforms vital: “Protecting consumers from the growing threats of natural disasters and ensuring they have immediate access to resources during a crisis, free from obstacles from insurance companies, is vital.”
But the law goes further than simplified payouts. Let’s break down what changed and what it means for your coverage.
What California’s SB 495 “Eliminate The List” Act Actually Does
SB 495, authored by Senator Ben Allen, addresses the single biggest complaint from wildfire survivors: insurance companies demanding itemized lists of destroyed contents before paying claims. After a total loss, most people can’t produce receipts, photos, or detailed descriptions of everything they owned.
The new law solves this in three ways:
- Immediate 60% payout of contents coverage limits (up to $350,000 maximum) for total loss claims—no itemization required upfront.
- 100 days to submit proof of loss documentation after a declared state of emergency, giving survivors breathing room to gather records.
- Mandatory data collection by the California Department of Insurance on climate-driven risks affecting insurance availability statewide.
That $350,000 cap covers most homeowners. If your contents coverage exceeds that limit, you’ll still get $350K immediately without documentation. The remaining balance requires standard proof of loss—but you have over three months to compile it.
How the 100-Day Proof of Loss Window Works
Previously, California insurers could demand proof of loss within 60 days of a claim. For wildfire survivors dealing with evacuation, finding temporary housing, and emotional trauma, that timeline was brutal.
Now you get 100 days from the date of a declared state of emergency. That’s an extra 40 days to:
- Locate receipts from email archives or cloud storage
- Contact retailers for purchase records (major appliances, electronics, furniture)
- Gather photos from social media, friends, or family members
- Work with public adjusters if you choose to hire one
The clock starts when the governor declares a state of emergency for the wildfire event—not when you file your claim. That distinction matters because emergencies are declared before or during active fires, giving you the full window regardless of when your home burns.
Which Homeowners Benefit Most from These Changes?
Three groups see the biggest impact:
Total loss victims get the most relief. If your home is completely destroyed, you receive 60% of contents limits immediately. Partial damage claims still follow standard procedures, but total loss is where “The List” caused the most pain.
Middle-income homeowners with $250K-$500K in contents coverage hit the sweet spot. The $350K cap covers most of their contents value upfront, and the remaining balance is small enough to document in 100 days. High-net-worth homeowners with $1 million+ in contents may still face significant documentation requirements for amounts exceeding the cap.
Renters with contents policies aren’t explicitly mentioned in SB 495, but the law applies to “wildfire survivors who experience a total loss.” If you’re renting and your belongings are destroyed, you should receive the same 60% immediate payout up to $350K—though most renters policies carry much lower limits ($25K-$75K is typical).
What About Climate Risk Data Collection Requirements?
Here’s what most coverage missed: SB 495 isn’t just about claims payouts. The law grants the California Department of Insurance new authority to collect data on climate-driven risks affecting insurance availability and pricing.
Why does this matter to you?
Better data helps the state identify areas where insurers are withdrawing coverage or raising rates due to wildfire risk. The Insurance Information Institute reports California already faces an insurance availability crisis in high-risk zones, with major carriers like State Farm and Allstate limiting new policies.
The data requirements could lead to:
- More targeted state intervention when insurers exit specific ZIP codes without justification based on actual risk data rather than speculation
- Better consumer disclosure about which neighborhoods face the highest insurance cost increases in coming years
- Evidence-based mitigation programs—if data shows home hardening measures reduce wildfire losses, the state can incentivize those improvements through policy
Think of it as infrastructure for future reforms. Today’s law helps current wildfire victims. Tomorrow’s data helps prevent insurance market collapse in fire-prone regions.
Should You Review Your Contents Coverage Limits Now?
Yes. Immediately.
The 60% payout cap at $350K reveals a critical math problem: if your contents coverage limit is $350K, you get $210K upfront (60% of $350K). To receive the full $350K cap, you need at least $583,333 in contents coverage ($583,333 × 60% = $350K).
Most homeowners underinsure contents by 30-40% according to industry estimates. If you’re carrying the state’s recommended coverage—typically 50-75% of dwelling coverage value—you might not reach the cap threshold.
Example: Your home is insured for $600K. Standard guidance suggests $300K-$450K in contents coverage. At $400K contents coverage, you’d receive $240K immediately under the new law (60% of $400K), with $160K requiring documentation. That’s helpful, but not the full $350K cap.
To maximize the immediate payout benefit, consider increasing contents limits to at least $583K. Yes, premiums rise—but in a total loss scenario, you want that full $350K upfront while dealing with displacement.
How This Compares to Other States’ Wildfire Insurance Laws
California now leads the nation on wildfire claims reforms. Texas and Colorado have wildfire-prone areas but lack similar consumer protections. The National Association of Insurance Commissioners hasn’t established model legislation on this issue yet, making California’s approach precedent-setting.
Other states worth watching:
| State | Wildfire Risk Level | Consumer Protections |
|---|---|---|
| California | Extreme | 60% payout without documentation (SB 495) |
| Colorado | High | Standard proof of loss requirements |
| Oregon | High | Extended claims filing windows (90 days) |
| Texas | Moderate | No wildfire-specific reforms |
Oregon’s 90-day extension is close but still requires full documentation upfront. California’s approach—immediate payment first, documentation later—represents a fundamental shift in claims philosophy.
What to Do Before the Next Wildfire Season
These protections only help if you’re properly insured when disaster strikes. Take these steps now:
Create a digital home inventory using your smartphone. Walk through every room recording video narration: “This is the living room. That’s a Samsung 65-inch TV purchased in 2023, cost about $1,200. The couch is from West Elm, around $2,800.” Email the videos to yourself or upload to cloud storage. Takes an hour, saves months of reconstruction work later.
Photograph receipts for major purchases. Appliances, electronics, furniture, jewelry—anything worth over $500. Store photos separately from your home (cloud storage, email, family member’s house).
Review your contents coverage limits annually. As home values rise, contents values rise too. That $300K contents policy from 2020 may need to be $400K+ in 2025 dollars.
Understand your policy’s actual cash value vs. replacement cost provisions. Replacement cost coverage pays to replace items at today’s prices. Actual cash value deducts depreciation. The 60% payout under SB 495 applies to your policy limits—if those limits are actual cash value, you’re getting 60% of depreciated values.
Commissioner Lara emphasized the Department of Insurance “will continue to advocate for homeowners, making it easier for them to prepare for and recover from wildfires.” But preparation still falls on you.
Frequently Asked Questions
Does SB 495 apply to partial losses or just total losses?
The law specifically applies to “wildfire survivors who experience a total loss.” Partial damage claims—where your home is damaged but not destroyed—still follow standard claims procedures requiring documentation. The 60% immediate payout and 100-day proof of loss window are designed for total loss situations where survivors have no access to belongings or records.
If my contents coverage is $500K, do I get $350K or $300K immediately?
You receive $300K immediately. The law pays 60% of your contents limits or $350K, whichever is lower. With $500K coverage, 60% equals $300K—below the cap. To receive the full $350K upfront, you need at least $583,333 in contents coverage (60% of $583,333 = $350K). The remaining $200K of your $500K limit requires standard documentation within 100 days.
When does the 100-day proof of loss deadline start?
The clock starts on the date the governor declares a state of emergency for the wildfire event—not when you file your claim. If a fire starts on August 1st and the governor declares an emergency that day, your 100-day window runs from August 1st regardless of whether you file your claim on August 5th or August 20th. This gives everyone affected by the same disaster the same deadline.
Do renters with contents insurance qualify for the 60% payout?
The law applies to “wildfire survivors” with contents coverage experiencing total loss—it doesn’t distinguish between homeowners and renters. If your rental unit is destroyed by wildfire and you hold a renters insurance policy with contents coverage, you should qualify for the same 60% immediate payout up to $350K. However, most renters policies carry much lower contents limits (typically $25K-$75K), so the practical payout would be 60% of those lower limits.
Will these new requirements make insurance more expensive in California?
Possibly, but the impact should be minimal. Insurers already budget for total loss claims payouts—SB 495 changes when they pay, not how much they pay. The law may slightly increase insurers’ short-term cash flow needs, which could marginally affect pricing. However, California’s insurance market crisis stems primarily from catastrophic wildfire losses themselves, not claims processing reforms. The California DOI will likely monitor pricing impacts as part of its new data collection authority under the law.
Bottom Line: California Sets New Standard for Disaster Claims
SB 495 fundamentally rebalances power between insurers and wildfire survivors. Instead of requiring traumatized homeowners to document every possession before receiving funds, insurers must now provide immediate financial relief while survivors rebuild their lives.
The reforms take effect immediately for any declared state of emergency from October 11, 2025 forward. If you live in a wildfire-prone area, this changes your recovery timeline dramatically.
But it doesn’t change your responsibility to maintain adequate coverage limits and basic documentation. The law helps you access your insurance benefits faster—it doesn’t create benefits that weren’t in your policy to begin with.
Review your contents coverage before fire season starts. That one action determines whether you receive $150K or $350K when you need it most.