How Insurance Agents Are Using Education to Support Californians Facing Wildfire Risk

In 2025, California is once again in the national spotlight for an increasingly severe wildfire season. With over 17,000 structures lost and insured losses projected to top well over a billion, this year is on track to rival the worst wildfire seasons in state history. These disasters aren’t just natural events—they are deeply personal, often catastrophic experiences for individuals and families.

Insurance agents are on the front lines, not just during claims processing but in guiding people through risk assessment, coverage choices, and recovery. Continuing education (CE) is playing a vital role in preparing agents to offer meaningful, informed, and ethical support during this time.

Understanding Wildfire Risk Is Now a Baseline Requirement

According to the California Department of Insurance, wildfire-related claims have increased by 46% over the last five years, and underwriting standards are tightening across most major carriers. Many areas previously considered moderately risky are now flagged as high-risk zones. Agents need to understand evolving risk maps, defensible space regulations, and mitigation incentives. CE modules focused on climate-responsive underwriting and property valuation have become essential.

The Underinsurance Gap Is Widening

In a 2025 hearing by the California Senate Insurance Committee, it was revealed that 40% to 80% of wildfire survivors were underinsured at the time of loss, some by more than 30%. This discrepancy often results from outdated replacement cost estimates, inflation, or insufficient policy reviews.

Education programs that focus on:

• Accurate replacement cost calculation
• Extended and guaranteed replacement coverage options
• Regular policy review practices

It can help agents guide clients toward more resilient financial protection.

Ethics and Communication Are More Important Than Ever

When a client has just lost their home, the quality of an agent’s communication matters as much as their technical knowledge. Ethical training helps agents:

• Explain limitations and exclusions without jargon
• Advocate for the client within the bounds of the policy
• Maintain trust and transparency throughout the claims process

Many CE providers now offer updated ethics courses tailored explicitly to high-emotion claims and disaster scenarios, which help agents stay grounded in both compassion and compliance.

Staying Informed to Serve Better

CE also helps agents keep pace with emerging insurer responses:

• FAIR Plan enrollment has increased 63% since 2021
• The insurance landscape in wildfire-prone areas continues to evolve as companies reassess risk exposure and adjust offerings in response to regulatory and market pressures

By understanding the changing policy landscape, agents can more effectively help clients navigate options, understand premium increases, or identify supplemental coverage needs.

In Summary: Education as a Standard of Care

In a state where wildfires are no longer rare events but annual threats, continuing education isn’t just a legal checkbox. It’s a tool that enables agents to lead with clarity, empathy, and credibility. For Californians facing mounting climate risks, working with a well-educated insurance professional can make a tangible difference in their ability to recover and rebuild.

Education doesn’t solve disasters. But it does shape the people who help others.