There are two ways for insurance companies to operate in the state of California. Insurance companies can either be Admitted or Non-Admitted (Surplus Lines) and they both have their benefits and set backs.
Our goal is to write all of our customer with an Admitted insurance carriers and luckily, we have that option. We have a direct relationship built on trust with an Admitted insurance carrier that allows us to directly write new business for clients that reside in wildfire-prone areas. That's what makes us a cut above the rest!
Here are some of the differences between Admitted and Non-Admitted insurance providers and why we lean heavily toward admitted business:
- Backed by CIGA which provides protection for policy holders should the carrier be declared insolvent
- Rates are approved by the Department of Insurance and they cannot deviate from these rates
- No surplus lines taxes or fees
- Not backed by CIGA which could leave a policy holder without protection should the company become insolvent
- Rates are not tracked by the Department of Insurance. This allows them to be flexible for policies that are unique
- Subject to surplus lines taxes and fees
Overall, each option plays an important role in the insurance market. It's important to know that only after doing a diligent search for an admitted insurance carrier are you allowed to place your policy with a non-admitted carrier.
When no admitted carriers will offer you an insurance policy, that is when you will need to approach the non-admitted market to help get your home insured.
We have access to both types of insurance providers, but have built a special relationship with an admitted carrier that specializes in wildfire-prone home insurance that many of our customers utilize for their great coverage and excellent rates.
We're here to help.
If you have any questions or would rather receive a quote over the phone, call us at 661-368-4447.