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California

Newsom vetoes fire survivors' insurance claim bills

Developing Confirmed

Gov. Gavin Newsom has vetoed two bills written after the 2025 Eaton and Palisades fires to change how home insurers handle claims. SB 877 would have required insurers to show policyholders their original loss estimates and any revisions; SB 878 would have required faster written decisions and interest on late payments. Both passed with lopsided bipartisan votes. In a single veto message, Newsom wrote that the bills would codify existing Department of Insurance regulations and guidance. Author Sen. Sasha Renée Pérez said she was deeply disappointed. Survivor advocates dispute that current rules address delays and underpayments.

The wall: Veto message unread; no insurer or CDI response on record

Tier: Confirmed (vetoes); Reported (veto wording)

Sources

politics economy, business and finance state: California

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