Personal Lines

Cal Mutual Pauses Homeowners and Dwelling Fire-New Business

June 22, 2023 – Due to the current market conditions in California and as a result of some carriers restricting issuance of new residential property insurance in California, we have experienced a significant increase in the number of applications received for Homeowners and Dwelling Fire policies across the state. In an effort to allow our staff to catch up on new business applications while still providing excellent service for our current customers’ residential property renewal business, we are pausing writing new Homeowners and Dwelling Fire policies.

This is not a decision to stop or slow our writing of these policies in the future in California.  We are a California company and are committed to servicing the insurance needs of the state. Our decision to pause writings is simply a necessary result of having received a record number of applications in recent months. Our pause is temporary and we will resume writing new Homeowners and Dwelling Fire policies as soon as our staffing allows us.

This pause applies to NEW Homeowners and NEW Dwelling Fire products only and does not apply to our commercial products. 

We thank you for your patience and support and will keep you updated as we move forward. 

Matt Curley, Chief Executive Officer

Providing property and liability insurance coverage for individuals who own a home, own a secondary residence or rentals.

The Truth About Homeowner Extended Replacement Cost 

Many people believe that it is acceptable to under insure the dwelling coverage on their homeowners policy because they have an endorsement for an additional 25% or 50% extended replacement cost. Think Again. In California, most homeowners insurance policies will have provisions in them with respect to the extended replacement cost coverage. In order for this coverage to be in place, the insurance company can require that you are insuring your home at least to the rebuilt cost of the home at the time of the policy period. In the event that you are not, your extended replacement cost coverage could be void or you could find yourself in a position of coinsuring your home based upon the percentage of rebuild cost. Many people attempt to keep lower than necessary coverage on their homeowners insurance in order to lower the premium. In the end, it just is not worth it. The difference in premium from a properly rated policy to a policy that is underinsured is minimal. If you are looking to ensure that you have a good rate on your homeowners insurance, let California Mutual Insurance give you a quote.