If you own a home in Calabasas, you already know this isn't your average California suburb. Tucked into the Santa Monica Mountains with gated estates, celebrity neighbors, and property values that make most people's jaws drop, Calabasas offers an exceptional lifestyle. But that premium location comes with insurance challenges that are just as exceptional—and if you're not prepared, they can catch you off guard.
Between wildfire risk that's burned into the community's recent memory, earthquake exposure that keeps seismologists busy, and an insurance market that's undergone dramatic changes, protecting your Calabasas home requires more than just checking a box. Let's walk through what you actually need to know.
Why Calabasas Home Insurance Is Different
The November 2025 housing market data tells part of the story: homes in Calabasas sold for a median price of $1.4 million, up 25.8% from the previous year. In Calabasas Hills specifically, that median jumps to $1.9 million. For luxury properties, the numbers get even more dramatic, with Q3 2025 median sales hitting $4.9 million. When you're insuring property values like these, standard coverage limits don't cut it.
But it's not just about the price tag. Your home sits in Los Angeles County's wildland-urban interface, where manicured neighborhoods meet chaparral-covered mountainsides. The 2018 Woolsey Fire is still fresh in many residents' memories—it burned 96,949 acres, destroyed 1,643 structures, and forced the evacuation of 295,000 people. That fire crossed Highway 101 near Calabasas and burned through Liberty Canyon in neighboring Agoura Hills, consuming 88% of the Santa Monica Mountains National Recreation Area.
Insurance companies haven't forgotten either. In March 2024, State Farm announced it was non-renewing more than 30,000 policies statewide, including over 2,000 in Los Angeles ZIP codes covering Brentwood, Calabasas, Hidden Hills, and Monte Nido. Other major carriers followed suit or paused writing new business in the area. The fire return interval in the Santa Monica Mountains is now just 28 years—far shorter than the natural 70-100 year cycle—which means insurers see elevated risk that's not going away.
Understanding Your Coverage Options
If you can still get coverage through a traditional carrier, consider yourself fortunate—but read the fine print carefully. With California home insurance premiums averaging $1,674 annually in 2025 (a 20% jump from 2024), and wildfire-prone areas seeing even steeper increases, your actual costs will likely run much higher. Policies for high-value homes in fire zones can easily reach $5,000 to $15,000 or more per year, depending on your property's specific characteristics and the coverage limits you need.
For many Calabasas residents, the California FAIR Plan has become the only option. The FAIR Plan is the state's insurer of last resort, providing basic fire coverage when no traditional company will take you on. Recent improvements have made it more viable: residential coverage limits increased to $3 million in 2025, and you can now get discounts on the wildfire portion of your premium if you've hardened your property with improvements like ember-resistant vents, Class A roofing, and adequate defensible space.
Here's the catch: the FAIR Plan only covers fire. You'll need to purchase a separate difference-in-conditions (DIC) policy to cover everything else—theft, liability, water damage, wind, and all the other perils a standard homeowners policy would include. Together, a FAIR Plan policy plus a DIC policy will cost more than traditional coverage, but it's your path to protection when you've been non-renewed.
There's promising news on the horizon. California's Sustainable Insurance Strategy reforms completed evaluation in early 2025, allowing insurers to use forward-looking catastrophe models that account for climate change and wildfire mitigation efforts. In response, Mercury Insurance, Allstate, and CSAA have committed to writing policies in high-risk areas, potentially affecting more than 1.5 million homeowners in wildfire-distressed zones. This doesn't mean coverage will be cheap, but it does mean more options may be coming back to Calabasas.
The Earthquake Factor You Can't Ignore
While wildfires grab the headlines, earthquake risk in Calabasas is equally real and completely uncovered by your standard homeowners policy. California sits on multiple fault lines, and Los Angeles County experiences regular seismic activity. When you're protecting a $2 million home, the cost of earthquake damage could be financially devastating without proper coverage.
The California Earthquake Authority (CEA) offers earthquake insurance for residential properties, with coverage available for your dwelling, personal property, and additional living expenses if your home becomes uninhabitable. Premiums vary widely based on your home's age, construction type, foundation, and proximity to fault lines. A typical CEA policy might run $800 to $3,000 annually for a Calabasas home, with deductibles usually ranging from 10% to 25% of your dwelling coverage.
Yes, that's a high deductible—but consider what you're protecting against. A major earthquake could cause foundation damage, structural cracking, and interior destruction costing hundreds of thousands to repair. The high deductible keeps premiums manageable while protecting you from catastrophic loss. Many Calabasas homeowners choose earthquake coverage precisely because their properties represent such significant investments.
How to Strengthen Your Insurance Position
The most effective way to improve your insurability and lower your premiums is property hardening. Insurers are increasingly willing to reward homeowners who reduce their wildfire risk through specific improvements. Start with your roof—Class A fire-rated roofing materials are often required and can significantly reduce your premium. Replace standard vents with ember-resistant models, as embers traveling ahead of a fire front cause the majority of structure ignitions.
Create and maintain defensible space around your home. This means clearing brush and dead vegetation within at least 100 feet of your structure, keeping tree branches at least 10 feet from your roof, and using fire-resistant landscaping in the immediate 5-foot zone around your home. These aren't just insurance requirements—they're proven, life-saving measures that gave many homes a fighting chance during the Woolsey Fire.
Document everything. Take photos of your improvements, keep receipts, and get a professional wildfire risk assessment if possible. When you're shopping for insurance or facing non-renewal, this documentation can make the difference between getting covered and being turned away. Some insurers now use satellite imagery and drone assessments to evaluate properties, so visible improvements to your roof, landscaping, and exterior materials matter more than ever.
Don't forget about liability coverage. With property values and wealth levels in Calabasas, you're a more attractive target for lawsuits. If someone is injured on your property or you're found liable for damages, your homeowners liability coverage provides your first layer of protection. But the standard $300,000 or $500,000 limit may not be enough. Consider a personal umbrella policy that adds $1 million to $5 million in additional liability coverage—it typically costs just $200 to $500 annually and protects your assets if you face a serious claim.
Getting Started With the Right Coverage
Start by getting multiple quotes. Even in a challenging market, different insurers assess risk differently and may offer significantly different rates. Work with an independent insurance agent who specializes in high-value homes and California wildfire risk—they'll have access to multiple carriers and know which ones are still writing business in Calabasas.
Review your coverage limits carefully. Replacement cost coverage ensures your home is rebuilt to current standards, even if construction costs have increased since you bought your policy. Given that Calabasas home values jumped 59% in just one quarter during 2025, your coverage limits can quickly become outdated. Schedule an annual policy review to ensure your limits keep pace with rising property values and construction costs.
If you're in the market for a new home in Calabasas, factor insurance costs into your budget from the beginning. Ask the seller about their current insurance situation and whether they've faced non-renewals. Some neighborhoods and specific streets may have better or worse insurance availability based on their wildfire exposure, proximity to fire stations, and access routes for emergency vehicles. These factors can affect both your insurance costs and your home's insurability.
The insurance landscape in Calabasas is evolving rapidly, with new reforms bringing cautious optimism that traditional carriers will return to the market. But the underlying risks—wildfire, earthquake, and high property values—aren't going anywhere. Your best strategy is to take control of what you can control: harden your property, maintain adequate coverage limits, and work with professionals who understand the unique challenges of insuring a home in this exceptional community. Your Calabasas home represents a significant investment and a lifestyle you've chosen for specific reasons. Making sure it's properly protected is just part of maintaining that investment wisely.
