Lara, Gipson unveil the Smoke Damage Recovery Act - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
February 13, 2026 Newswires
Share
Share
Post
Email

Lara, Gipson unveil the Smoke Damage Recovery Act

California Department of Insurance, Special to LassenNews.comLassen County Times

In response to unprecedented smoke contamination from last year's Los Angeles wildfires, the largest urban wildfire disaster in state history, Insurance Commissioner Ricardo Lara and Assemblymember Mike Gipson today announced AB 1795, the Smoke Damage Recovery Act, landmark legislation establishing California's first enforceable public health and insurance claims standards for smoke‑damaged homes.

Despite the growing severity of wildfires, no state or national standards exist for testing, cleaning or restoring homes contaminated by wildfire smoke.

This gap in the law has left families navigating conflicting expert opinions, prolonged insurance disputes, and unsafe living conditions.

AB 1795 directly confronts this decades‑old failure by creating science‑based, health‑driven standards for smoke testing and restoration and by providing immediate relief for Los Angeles wildfire survivors who cannot wait for statewide standards to be finalized.

Lara has repeatedly emphasized that smoke damage is not merely an insurance issue — it is a public health crisis. A central feature of AB 1795 is its early‑action provision, designed specifically to address the delays and disputes facing survivors of the Los Angeles wildfires. If a state or local health or environmental agency issues specific standards for interior smoke testing, screening levels, or restoration, survivors will be able to use those local standards immediately to support and expedite their insurance claims.

This empowers a public health agency to issue interim guidance that insurers must follow, giving families a clear path to recovery now rather than waiting months for statewide standards to be completed.

This is the first bill in the nation to create a mechanism for immediate, locally driven smoke‑damage standard, a direct response to what survivors have been asking for.

"Wildfire survivors are being told to return to homes coated in toxic residue and that is unacceptable," said Lara. "This is not just an insurance dispute; it is a public health emergency. Families cannot wait for long processes or conflicting opinions. They need clear standards and real protection now. We are delivering immediate relief for Los Angeles survivors while building the long‑term, science‑based framework Californians deserve. After more than 30 years without enforceable standards, it falls to us to lead."

"Smoke contamination has left families uncertain about whether it's safe to return home parents worried about their children's health, older residents displaced from their homes, and entire communities caught in limbo," said Gipson. "AB 1795 gives survivors what they have been pleading for: real standards, real protections, and real urgency. Strong, science‑based rules are the only way to ensure families get a fair and safe path back home."

Why AB 1795 is needed now

The Los Angeles wildfires produced historic levels of smoke contamination, affecting thousands of standing homes.

Survivors report severe health symptoms, conflicting expert assessments and insurers denying or minimizing claims.

No state or national standards exist for smoke testing, remediation, or claims handling.

The Department of Insurance is investigating hundreds of consumer complaints and has taken enforcement action against the FAIR Plan for improper smoke‑claim denials.

The Department's Smoke Claims and Remediation Task Force — including CAlFire, public health experts, restoration specialists and survivor groups has identified urgent needs for uniform standards and will issue recommendations next month.

What AB 1795 would do

AB 1795 addresses the decades‑long absence of standards and the unprecedented damage caused by the Los Angeles wildfires by

Establishing science‑based, health‑driven standards for inspection, testing and restoration of smoke‑damaged homes.

Creating uniform insurance claims‑handling practices and required restoration protocols.

Developing health‑based guidelines to determine when a home is safe for families to return.

Designating the appropriate state and local agencies to implement and enforce these standards.

Providing immediate relief by allowing survivors to rely on local public health standards for smoke testing and restoration while statewide standards are being finalized.

These provisions reflect the consensus among California's public health experts, environmental scientists, and survivor advocates that smoke contamination poses long‑term health risks requiring specialized, science‑based remediation not ad hoc, insurer‑driven decisions.

Lara's actions on smoke damage recovery

Created the Smoke Claims and Remediation Task Force to develop science‑based recommendations.

Issued a formal Bulletin directing insurers to fully investigate and pay legitimate smoke‑damage claims.

Launched a market conduct examination of State Farm to assess wildfire and smoke‑claim handling.

Filed legal enforcement action against the FAIR Plan for improper smoke‑claim denials.

Engaged survivor groups directly to ensure their lived experience informs policy decisions.

These efforts build on California's broader modernization of insurance regulation and wildfire recovery practices.

A national model

By establishing the nation's first comprehensive smoke‑damage standards and by creating a mechanism for immediate, locally driven relief, AB 1795 positions California to lead the development of a national framework, much like the Department has done with climate disclosure, wildfire catastrophe modeling, and the Sustainable Insurance Strategy.

As wildfires intensify and smoke impacts reach communities far beyond traditional fire zones, states across the country are confronting the same lack of clear standards that California is addressing today. National media coverage in the New York Times and the San Francisco Chronicle has highlighted the growing public health implications of wildfire smoke and the absence of consistent remediation protocols underscoring the urgent need for the type of science‑based protections California is now advancing.

Next steps

The Smoke Claims and Remediation Task Force will finalize its recommendations in March. These findings, along with public input from survivors, existing research, and ongoing investigations, will inform amendments to AB 1795 as it moves through the legislature.

Older

XRP clings to $1.35 support as US CPI data threatens to seal the bears’ case

Newer

US core inflation may hit 5-year low though price pressures linger

Advisor News

  • Financially support your adult children without risking your future
  • NY insurance agent and Ponzi schemer faces 4-12 years in prison
  • Economic pressure makes boomerang living a new normal
  • Millennials ready to bring their advisor to the family table
  • The gap between policy awareness and investor conversations
More Advisor News

Annuity News

  • A new opportunity for advisors: Younger indexed annuity buyers
  • Most employers support embedding guaranteed lifetime income options into DC Plans
  • InspereX Partners with AuguStar Retirement for Strategic Expansion into Annuity Market
  • FACC and DOL enter stipulation to dismiss 2020 guidance lawsuit
  • Zinnia’s Zahara policy admin system adds FIA chassis to product library
More Annuity News

Health/Employee Benefits News

  • New Cigna CEO: Insurer to exit ACA, focus on ‘relentless’ push for affordability
  • Thousands of Marylanders downgraded health plans on ACA marketplace amid rising premiums
  • Trump’s Medicaid fraud crackdown may sound sensible, but it could harm Americans who require long-term care
  • Elevance Health’s Affiliated Health Plans Deliver More Predictable, Lower Healthcare Costs for Small Businesses
  • Mental Health Awareness Month declared in Tennessee
More Health/Employee Benefits News

Life Insurance News

  • AM Best Affirms Credit Ratings of Old Republic International Corporation’s Subsidiaries
  • Government seeks dismissal of Dean Vagnozzi’s lawsuit against SEC
  • Symetra Promotes Nicholas Mocciolo to Chief Investment Officer of Symetra Financial Corporation
  • NAIFA letter supports change to DOL independent contractor rule guidance
  • Are you truly independent? 5 questions to ask
More Life Insurance News

- Presented By -

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Protectors Vegas Arrives Nov 9th - 11th
1,000+ attendees. 150+ speakers. Join the largest event in life & annuities this November.

A FIA Cap That Stays Locked
CapLock™ from Oceanview locks the cap at issue for 5 or 7 years. No resets. Just clarity.

Aim higher with Ascend annuities
Fixed, fixed-indexed, registered index-linked and advisory annuities to help you go above and beyond

Unlock the Future of Index-Linked Solutions
Join industry leaders shaping next-gen index strategies, distribution, and innovation.

Leveraging Underwriting Innovations
See how Pacific Life’s approach to life insurance underwriting can give you a competitive edge.

Bring a Real FIA Case. Leave Ready to Close.
A practical working session for agents who want a clearer, repeatable sales process.

Press Releases

  • Hexure Offers Real-Time Case Status Visibility and Enhanced Post-Issue Servicing in FireLight Through Expanded DTCC Partnership
  • RFP #T01325
  • RFP #T01325
  • RFP #T01825
  • RFP #T01825
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet