Newsom Vetoes Two Bills Fire Survivors Fought For

Governor Newsom has vetoed two insurance bills that Los Angeles fire survivors helped push through the Legislature. For people still stuck in claims disputes, it is a hard piece of news.

The bills were narrow and practical. SB 877 would have required insurers to show policyholders their original loss estimates and any revisions. SB 878 would have required insurers to pay actual cash value within 30 days of a total-loss determination.

The vetoes came around Sept. 27. In explaining them, Newsom said the regulations in Insurance Commissioner Lara's Sustainable Insurance Strategy make the bills unnecessary at this time. Consumer Watchdog disputes that. The sponsors say they will try again next legislative session.

Why this lands the way it does

If you have been through a total loss, you know that the hardest part is often not the fire itself. It is the long, uneven process afterward. Seeing how an insurer arrived at its number, and how that number changed, is basic information for anyone trying to rebuild or decide whether to sell the land. A firm 30-day payment clock would have given people something to plan around.

Now they don't have that. The existing regulations are what's in place, and the governor is betting they are enough. The people who sponsored these bills are not convinced.

What I'd tell clients in fire zones

I am a real estate advisor, not an attorney or a public adjuster, and I won't pretend to give legal advice. But a few things are simply common sense.

• Keep every document, estimate and revision from your insurer, in order and dated.
• If your claim is in dispute, get qualified professional help before making big decisions about rebuilding or selling.
• Talk to me early if you are weighing a sale, so we can understand what your options look like without rushing you.

The veto doesn't end this conversation. The sponsors have said they will bring the bills back, and survivors clearly intend to keep pressing. In the meantime, the people living through these claims deserve patience and clear information.

If you are in that situation and want a straight conversation about your property, I am here.

Sources: Spectrum News, LAist.