Homeowners insurance typically covers your home’s structure, personal belongings, liability protection, and additional living expenses if you’re displaced. In California, coverage can vary based on wildfire risk, earthquake exposure, and your property's location, so it's important to review what's included—and what’s not.

The amount of coverage you need depends on the cost to rebuild your home (not its market value), the value of your personal belongings, and your liability risk. Homes in areas like La Jolla or Del Mar may require higher coverage limits due to higher property values and potential rebuilding costs.

Homeowners insurance isn’t legally required by the state, but if you have a mortgage, your lender will require it. Even without a mortgage, having coverage is essential to protect your investment from fire, theft, liability claims, and more.

Standard homeowners insurance typically covers fire and smoke damage—including wildfire. However, earthquake coverage is not included and must be purchased as a separate policy. In high-risk areas of California, reviewing your policy for exclusions is crucial.

Premiums may increase due to rising construction costs, inflation, claims history, or if your home is in a high-risk area for wildfires or flooding. Insurance carriers are also adjusting rates based on updated risk models and regional claim trends.