The announcement is part of a specific market inflection. Insurance Commissioner Ricardo Lara’s Sustainable Insurance Strategy – Proposition 103 reforms finalized December 2024 allowing admitted insurers to use forward-looking catastrophe models and reinsurance costs in rate filings in exchange for expanding coverage in wildfire-distressed areas – has begun producing measurable admitted market re-entry. The California FAIR Plan, the state’s insurer of last resort, had grown to cover more than 450,000 properties following non-renewals from carriers including State Farm after 2024, a stress compounded by the January 2026 Los Angeles wildfires. The California Department of Insurance reported that FAIR Plan residential policy growth slowed to roughly 2.4% in Q1 2026, down sharply from 35,000 to 50,000 policies added per quarter through 2024 and 2025 – the most specific available evidence that admitted market capacity is beginning to displace last-resort coverage. The Bamboo-MS Transverse partnership is one expression of that shift.
