Comment by doctorpangloss

At least you’re answering the question.

California FAIR is the insurance of last resort so what you’re saying isn’t totally accurate.

There has to be an insurance option because you can’t get a mortgage without insurance. And owner occupied real estate prices do not go up without mortgages.

California bends over backwards to make owner occupied real estate risk free.

More provocative questions: what is the difference between someone who lost a home in a place guaranteed for the home to eventually burn down, and someone who doesn’t own a home at all? In that moment: nothing, right? Why is sunk cost a fallacy all the time, except that time?

Is someone who pays less in taxes deserving of less, more or equal government assistance? No, right? Now replace taxes with “compulsory payments” like home insurance: does your answer change?

This should illuminate for you why CA wildfire bailout policy is so inequitable. These communities are not an escape valve from overpriced real estate in California cities, they ARE the overpriced real estate all the same.