SACRAMENTO, California — A pair of dueling property insurance reform initiatives will no longer go to the ballot after their supporters declared a truce.
What happened: Consumer Watchdog said Tuesday it had reached what it called an “armistice” with insurance broker Elizabeth Hammack, clearing the way for both sides to withdraw their proposals. Consumer Watchdog also acknowledged it lacked the money to wage an expensive statewide campaign.
Under the agreement, Consumer Watchdog — the sponsor of 1988’s Proposition 103, which created the state’s current regulatory structure — will drop its proposal to require insurers to write policies in fire-prone areas for homeowners who take steps to reduce wildfire risk.
Hammack, an independent insurance agent, will withdraw her proposal to undo key pieces of Prop 103, including consumer protections and the provision making the insurance commissioner an elected post.
