California Condo Raises Fire Insurance By 1000% | HOAM News

Abstract

A California condo raises fire insurance rates by approximately 1000%, thereby angering and confusing multiple residents. Prone to Wildfires Cimmaron Oaks is a condominium complex located in a wildfire-prone area of Castaic, understandably requiring fire insurance coverage. Residents are wondering why insurance premiums have gone up from $37,000 per year in 2019 to nearly $430,000 in 2022. According to residents, the fire insurance alone costs them $700 per month. Condo Raises Fire Insurance, Delinquencies Expected With the price hike in insurance, some residents feel worried that they won't be able to afford the monthly condo fees. Insurance Companies Taking Advantage? Residents of Cimmaron Oaks believe that insurance providers are charging exorbitantly high premiums simply because they "Can charge whatever they want." This likely stems from the fact that owners have been denied by multiple companies many times, possibly due to the location of the condo. It's currently unknown whether the neighboring areas of the condo complex are experiencing the same issue with fire insurance.