State Farm Wants to Increase Your Homeowners Premium by 22%. Can the FAIR Plan Be the Answer?

By: Ben Komenkul Published on: 07/02/2025

Southern California has been devastated by wildfires in recent years, and the fallout is hitting homeowners hard. Insurance companies like State Farm are struggling to cover the massive costs of wildfire damage, and now they’re asking for a 22% increase in homeowners’ premiums. But with many Californians already struggling to afford insurance, is the state-run FAIR Plan the answer? Let’s break down what’s happening, why it’s happening, and what it means for homeowners.