Farmers Insurance requiring California FAIR plan

[David Jiang]

Just closed on a place in the Bay Area in an established residential neighborhood. In purchasing insurance for the property from Farmers, I was shocked that they suddenly require an additional fire insurance policy from something called California FAIR plan. It is exceedingly expensive, $3500/yr, and makes no sense for the house as it is not in a forest or anywhere close to being considered rural. My insurance agent said, due to the increasing wildfires in California, all insurance companies are overly cautious right now. Has anyone else run into this problem recently? Were you able to appeal the cost at all?