HB25-1182 Summary
HB25-1182: Risk Model Use In Property Insurance Policies
Prime Sponsors: Representative Titone, Representative Brown, Senator Cutter, Senate Simpson
Introduced: February 10, 2025
Signed: May 28, 2025
Effective Date: July 1, 2025
Summary:
House Bill 25-1182 is not directed specifically at homeowners’ associations, but rather, at the companies that provide insurance coverage, including to homeowners, businesses and Common Interest Communities. As insurance continues to be a large expense for many across the state, this bill requires insurers to develop models to estimate potential losses from catastrophic events. Insurers will also post publicly on their website about premium discounts, incentives, or other premium adjustments available to policyholders, if the policyholder undertakes property-specific mitigation actions.
Insurers will provide written notice to policyholders and applicants that includes:
A plain-language explanation of the wildfire risk score;
The range of scores that could be assigned to the policyholder’s property;
A written explanation of why the policyholder or applicant received the score and the primary features of the property that influenced the assignment of the score.
Written notice shall be delivered by the insurer no later than 15 days after the submission of the completed application to the insurer.