Delos Insurance Solutions Expands Wildfire Insurance Options for California Homeowners

Delos Insurance Solutions, which uses wildfire science and aerospace expertise to solve insurance availability and affordability issues, announced today the launch of a program to expand homeowners' insurance options for California homeowners facing wildfire risks.

Source: Delos | Published on November 17, 2022

Night long exposure photograph of the Santa Clarita wildfire in CA. The Santa Clarita Valley mountains has drawn firefighters and emergency crews in the hills toward Acton. So far, the fire has burned 38,346 acres.

Delos Insurance Solutions, which uses wildfire science and aerospace expertise to solve insurance availability and affordability issues, announced today the launch of a program to expand homeowners’ insurance options for California homeowners facing wildfire risks, as well as provide full home insurance policies to homeowners currently on the California Fair Access to Insurance Requirements (FAIR) Plan. To support this program, Delos has partnered with A-rated insurance and reinsurance companies, as well as Gallatin Point Capital LLC.

Through the newly formed California FAIR Plan Clearinghouse, Delos will have increased capacity to underwrite homeowners’ insurance for more than 15,000 FAIR Plan policyholders. This is significant because many California homeowners are unable to obtain insurance for wildfire risks and must rely on the FAIR Plan, which serves as a temporary source of coverage for those who are unable to obtain insurance through the traditional market. The California FAIR Plan established a clearinghouse in June 2021 to encourage traditional insurers to offer coverage.

“As a California-based company founded by Californians, Delos is dedicated to providing significant relief to homeowners in wildfire-ravaged areas of the state,” said Kevin Stein, Delos’ CEO and co-founder. “We are proud to collaborate with our dedicated carrier partners to significantly expand insurance options for homes that are having difficulty finding coverage.”

“We are excited to partner with Kevin and the Delos team,” said Matt Botein, co-founder and managing partner of Gallatin Point. We were impressed by the company’s unique vision and underwriting capabilities, which position it as a leader in providing insurance options for California homeowners affected by wildfires. We are excited to be a part of the company’s growth and journey.”

Delos combines its expertise with data from its comprehensive suite of wildfire models to aggregate and analyze exposure and concentration in order to quantify a home’s actual wildfire exposure. Other insurers were unable to distinguish between “exposed” and “stressed” wildfire areas before Delos began offering homeowners policies, so many chose not to offer coverage in areas they deemed too risky. As a result, homeowners in high-risk areas, where wildfires occur but pose little risk of loss, have been unable to find insurance coverage outside of the FAIR Plan. Delos’ platform provides full homeowners’ insurance to individuals in wildfire areas while also delivering profitable and diverse portfolios to insurers, reinsurers, the Lloyd’s market, and the collateralized capital community.