If you own a home in Loomis, you're living in one of California's most charming Sierra foothill communities. But here's what most homeowners don't realize until it's too late: your standard home insurance policy probably isn't enough to protect you from the two biggest risks in this region—wildfires and earthquakes. Let's talk about what you actually need to stay protected.
Loomis sits in Placer County, where the landscape is beautiful but comes with real risks. While the town doesn't have any Very High Fire Hazard Severity Zones, it does have Moderate and High zones throughout the area. These designations went into effect in August 2025 and they matter—not just for your safety, but for your insurance rates and requirements.
Understanding Wildfire Risk in Loomis
The Sierra foothills aren't just pretty—they're also fire-prone. California has seen its most destructive wildfires in the past decade, and the trend isn't slowing down. In September 2025, Insurance Commissioner Ricardo Lara had to protect 124,000 homes across six Sierra foothill counties from insurance non-renewals following wildfire emergencies. That's how serious this issue has become.
Here's what this means for you: if your home is in one of Loomis's designated fire hazard zones, you'll need to maintain defensible space around your property. This isn't optional—it's required. You'll also need to disclose your property's fire hazard classification when you sell. And perhaps most importantly, your insurance rates are likely going up.
The California FAIR Plan—the state's insurer of last resort for high-risk properties—has proposed raising rates by an average of 35.8% starting in spring 2026. While low-risk areas like the Central Valley might see decreases, the Sierra Nevada foothills are expected to face substantial increases. That's the bad news. The good news is that standard California homeowners policies do cover wildfire damage, so you're not completely unprotected.
What's Happening with Home Insurance in California
California's home insurance market is going through major changes right now. Several big insurers—State Farm, Allstate, and Farmers—have either stopped writing new policies or significantly limited coverage in high-risk areas. This has forced many homeowners onto the FAIR Plan, which provides basic fire coverage but typically costs more and offers less protection than standard policies.
The average cost of homeowners insurance in California ranges from about $1,335 to $1,674 per year for typical coverage, depending on your home's value and location. That's actually below the national average of $2,110. But if you're in a higher-risk area—which much of the Sierra foothills qualifies as—expect to pay more. Allstate's approved rate increase averaged 34% in 2025, and other carriers are following suit.
There is some hope on the horizon. Insurance Commissioner Lara has implemented reforms that allow insurers to use forward-looking catastrophe models and factor in reinsurance costs when setting rates. The goal is to bring insurers back to California and stabilize the market. Several companies have already announced plans to expand coverage in the state. But these reforms also mean rates will continue adjusting as insurers incorporate these new models.
Why You Need Separate Earthquake Coverage
Here's what catches most California homeowners by surprise: your standard home insurance policy doesn't cover earthquake damage. Not at all. If an earthquake damages your home, you're paying for repairs entirely out of pocket unless you have a separate earthquake policy.
The California Earthquake Authority is the main provider of earthquake insurance in the state. For a home with $500,000 in coverage, you're looking at an average annual premium of about $1,770. In 2025, the CEA implemented a 6.8% rate increase, adding roughly $70 per year for the average homeowner. That might sound expensive, but consider this: without coverage, you'd be responsible for potentially hundreds of thousands of dollars in repair costs.
Earthquake insurance typically covers three main things: your home's structure (dwelling coverage), your personal belongings (starting at $5,000 but increasable to $25,000), and additional living expenses if you need to live elsewhere while your home is repaired. The catch? Deductibles are high—usually between 5% and 25% of your dwelling coverage. With a $500,000 home and a 20% deductible, you'd pay the first $100,000 of damage before insurance kicks in. That's why many people who choose earthquake coverage select lower deductibles, which increases their premium but reduces their out-of-pocket risk.
There's one important exception: California law requires that standard homeowners policies cover fire damage caused by an earthquake. So if an earthquake ruptures a gas line and your home burns down, your regular policy would cover the fire damage even without earthquake insurance.
What Loomis Homeowners Should Do
First, check your property's fire hazard classification. Placer County provides an interactive map viewer on their website where you can look up your specific address. This will tell you whether you're in a Moderate or High fire hazard zone and what requirements apply to your property.
Second, review your current homeowners policy. Make sure you understand exactly what's covered for wildfire damage and what your deductibles are. If you're paying for replacement cost coverage rather than actual cash value, you'll be in much better shape if you ever need to rebuild. Also verify that your coverage limits match your home's current replacement cost—with construction costs rising, you might be underinsured even if you were properly covered a few years ago.
Third, seriously consider earthquake insurance. Yes, it's an additional expense. But the Sierra foothills are in an earthquake-prone region, and the financial devastation of major earthquake damage without insurance could be catastrophic. Run the numbers with a few different deductible options to find a balance between premium cost and risk you're comfortable with.
Fourth, if you're in a fire hazard zone, invest in defensible space and home hardening. Clear vegetation according to the requirements, use fire-resistant materials for roofing and siding, and maintain your property. Not only does this reduce your actual risk, but some insurers offer discounts for homes that meet wildfire mitigation standards. With the new reforms allowing insurers to consider these factors, proactive mitigation could help keep your rates lower.
Getting the Right Coverage
The insurance landscape in California—and especially in foothill communities like Loomis—is changing fast. Rates are going up, coverage is getting harder to find, and the risks are real. But you're not powerless here. The key is understanding what you're actually up against and making informed decisions about the coverage you need.
Start by getting quotes from multiple insurers for both homeowners and earthquake coverage. Don't just look at the premium—compare deductibles, coverage limits, and what's actually included. Ask specifically about wildfire coverage and any available discounts for mitigation measures. If traditional insurers won't cover you, the FAIR Plan is there as a backup, though you'll want to supplement it with additional coverage where possible.
Living in Loomis means accepting some level of natural disaster risk. But it also means taking responsibility for protecting yourself financially from those risks. Wildfire and earthquake coverage aren't luxuries in the Sierra foothills—they're necessities. Take the time to get the protection you need, because hoping nothing bad happens isn't a strategy that works.
