Around the PIA Western Alliance States – Week of February 16, 2026
Published February 17, 2026 at 1:37 PM · News Releases and Bulletins
California — Commissioner Lara unveils intervenor reform regulations to increase transparency and protect consumers’ money: Insurance Commissioner Ricardo Lara released the amended text of proposed regulations modernizing California’s intervenor and Administrative Hearing Bureau processes under Proposition 103 — reforms designed to increase transparency, improve efficiency, and ensure that every dollar in the rate review process serves the public interest. The amended text is now available for public comment.
“Every dollar in the rate review process belongs to California consumers. These reforms modernize outdated rules to protect those dollars with the highest standards of transparency and accountability,” said Commissioner Lara. “I value public input. These regulations create clear guidelines for public participation so it’s meaningful, prevents duplication, delay, and unnecessary costs that ultimately fall on policyholders.”
The amended text reflects months of stakeholder engagement and public input. The Department issued its original Notice of Proposed Rulemaking in October 2025, followed by a 45-day public comment period and opportunities for written and oral testimony. After carefully reviewing comments from consumer advocates, insurers, legal experts, and members of the public, the Department made targeted revisions to strengthen the proposal and address legal and constitutional concerns.
Pursuant to state law, the amended text is now available for an additional 15-day public comment period. All changes are clearly identified and supporting materials have been added to the rulemaking file to ensure full transparency.
The updated regulations:
Clarify prospective application so new rules apply moving forward, ensuring fairness and consistency in current ongoing proceedings.
Replace the prior “vexatious” standard with an objective “wasteful” standard for fee determinations focusing on whether work advances the issues in a proceeding, rather than subjective intent.
Strengthen scrutiny of excessive billing on a task-by-task basis.
Increase public access to rate proceeding documents by requiring timely online posting of pleadings, hearing calendars, and decisions.
Establish firm timelines and regular status updates from administrative law judges to reduce unnecessary delays.
Clarify definitions and procedural rules to streamline hearings and reinforce the Commissioner’s authority under Prop. 103.
These reforms are designed to uphold one of the core purposes of Prop. 103 – meaningful public participation – while ensuring that the process remains efficient, balanced, and focused squarely on consumer and ratepayer benefits.
The Department’s rigorous review of insurance rate filings under Prop. 103 and its lead role in keeping intervenors accountable throughout the rate review process has delivered measurable consumer savings during Commissioner Lara’s tenure.
From 2019 through 2025, the Department’s oversight saved Californians $6.6 billion in property, commercial, and auto insurance premiums, plus an additional $3.3 billion refunded directly to drivers as a result of the Department’s scrutiny of auto insurance rates during the pandemic.
“Under Prop 103, we are the voice of consumers in the rate review process. Effective consumer protection is grounded in facts, evidence, and led by the expertise of the Department’s professionals,” concluded Commissioner Lara.
These reforms are part of Commissioner Lara’s Sustainable Insurance Strategy — the most comprehensive overhaul of California’s insurance regulations in over 30 years — aimed at stabilizing the market, expanding availability, and ensuring a modern, resilient insurance system that works for all Californians.
Source link: California Department of Insurance — https://bit.ly/3MfVXkv
California — Commissioner Lara and Assemblymember Gipson Unveil the Smoke Damage Recovery Act: In response to unprecedented smoke contamination from last year’s Los Angeles wildfires, the largest urban wildfire disaster in state history, Insurance Commissioner Ricardo Lara and Assemblymember Mike Gipson announced AB 1795, the Smoke Damage Recovery Act, landmark legislation establishing California’s first enforceable public health and insurance claims standards for smoke damaged homes.
Despite the growing severity of wildfires, no state or national standards exist for testing, cleaning, or restoring homes contaminated by wildfire smoke. This gap in the law has left families navigating conflicting expert opinions, prolonged insurance disputes, and unsafe living conditions. AB 1795 directly confronts this decades old failure by creating science based, health driven standards for smoke testing and restoration and by providing immediate relief for Los Angeles wildfire survivors who cannot wait for statewide standards to be finalized.
Commissioner Lara has repeatedly emphasized that smoke damage is not merely an insurance issue — it is a public health crisis. A central feature of AB 1795 is its early action provision, designed specifically to address the delays and disputes facing survivors of the Los Angeles wildfires. If a state or local health or environmental agency issues specific standards for interior smoke testing, screening levels, or restoration, survivors will be able to use those local standards immediately to support and expedite their insurance claims.
This empowers a public health agency to issue interim guidance that insurers must follow, giving families a clear path to recovery now rather than waiting months for statewide standards to be completed.
This is the first bill in the nation to create a mechanism for immediate, locally driven smoke damage standard, a direct response to what survivors have been asking for.
“Wildfire survivors are being told to return to homes coated in toxic residue and that is unacceptable. This is not just an insurance dispute; it is a public health emergency. Families cannot wait for long processes or conflicting opinions. They need clear standards and real protection now,” said Commissioner Lara. “We are delivering immediate relief for Los Angeles survivors while building the long term, science based framework Californians deserve. After more than 30 years without enforceable standards, it falls to us to lead.”
“Smoke contamination has left families uncertain about whether it’s safe to return home parents worried about their children’s health, older residents displaced from their homes, and entire communities caught in limbo,” said Assemblymember Gipson. “AB 1795 gives survivors what they have been pleading for: real standards, real protections, and real urgency. Strong, science based rules are the only way to ensure families get a fair and safe path back home.”
Why AB 1795 Is Needed Now
The Los Angeles wildfires produced historic levels of smoke contamination, affecting thousands of standing homes.
Survivors report severe health symptoms, conflicting expert assessments, and insurers denying or minimizing claims.
No state or national standards exist for smoke testing, remediation, or claims handling.
The Department of Insurance is investigating hundreds of consumer complaints and has taken enforcement action against the FAIR Plan for improper smoke‑claim denials.
The Department’s Smoke Claims & Remediation Task Force — including CAL FIRE, public health experts, restoration specialists, and survivor groups has identified urgent needs for uniform standards and will issue recommendations next month.
What AB 1795 Would Do
AB 1795 addresses the decades‑long absence of standards and the unprecedented damage caused by the Los Angeles wildfires by:
Establishing science‑based, health‑driven standards for inspection, testing, and restoration of smoke‑damaged homes.
Creating uniform insurance claims‑handling practices and required restoration protocols.
Developing health‑based guidelines to determine when a home is safe for families to return.
Designating the appropriate state and local agencies to implement and enforce these standards.
Providing immediate relief by allowing survivors to rely on local public health standards for smoke testing and restoration while statewide standards are being finalized.
These provisions reflect the consensus among California’s public health experts, environmental scientists, and survivor advocates that smoke contamination poses long‑term health risks requiring specialized, science‑based remediation not ad hoc, insurer‑driven decisions.
Commissioner Lara’s Actions on Smoke Damage Recovery
Created the Smoke Claims & Remediation Task Force to develop science‑based recommendations.
Issued a formal Bulletin directing insurers to fully investigate and pay legitimate smoke‑damage claims.
Launched a market conduct examination of State Farm to assess wildfire and smoke‑claim handling.
Filed legal enforcement action against the FAIR Plan for improper smoke‑claim denials.
Engaged survivor groups directly to ensure their lived experience informs policy decisions.
These efforts build on California’s broader modernization of insurance regulation and wildfire recovery practices.
A National Model
By establishing the nation’s first comprehensive smoke‑damage standards and by creating a mechanism for immediate, locally driven relief, AB 1795 positions California to lead the development of a national framework, much like the Department has done with climate disclosure, wildfire catastrophe modeling, and the Sustainable Insurance Strategy.
As wildfires intensify and smoke impacts reach communities far beyond traditional fire zones, states across the country are confronting the same lack of clear standards that California is addressing today. National media coverage in the New York Times and the San Francisco Chronicle has highlighted the growing public health implications of wildfire smoke and the absence of consistent remediation protocols underscoring the urgent need for the type of science‑based protections California is now advancing.
Next Steps
The Smoke Claims & Remediation Task Force will finalize its recommendations in March. These findings, along with public input from survivors, existing research, and ongoing investigations, will inform amendments to AB 1795 as it moves through the Legislature.
Oregon — All manufacturers of prescription drugs subject to Oregon Drug Price Transparency Program: The Oregon Division of Financial Regulation has issued a bulletin regarding the withdrawal of Bulletin DFR 2024-3.
Purpose
This bulletin withdraws Bulletin DFR 2024-3 regarding the suspension of requirement to file certain annual price increase reports.
Guidance
Bulletin DFR 2024-3 provided guidance to prescription drug manufacturers subject to the Oregon Drug Price Transparency Program regarding a 2024 U.S. District Court ruling that resulted in the indefinite suspension of the program’s annual price increase reporting. Subsequently, the Ninth Circuit Court of Appeals issued a ruling effective October 31, 2025, overturning that decision. Accordingly, the department must resume collection of mandatory price increase reports from manufacturers and Bulletin DFR 2024-3 is hereby withdrawn.
Click here to review this bulletin:
Oregon — The Oregon Division of Financial Regulation recently announced the following temporary rulemaking:
ID 1-2026: Temporary Rules to Implement ORS 646A.689
Rules: 836-200-0515, 836-200-0530
Summary: In August 2025, the Ninth Circuit issued an opinion in PhRMA v. Stolfi reversing the decision of the District Court that took effect on October 31, 2025. Accordingly, the department must resume collection of mandatory price increase reports from manufacturers in 2026.
Filed: February 12, 2026
Effective: February 13, 2026 through August 11, 2026
For more information on this recently adopted rule, please visit the division's website:
Oregon — State of Oregon warns of scam targeting Spanish-speaking injured workers
Salem: The Oregon Department of Consumer and Business Services (DCBS) is warning the public about a scam targeting Spanish-speaking injured workers in other states, including in nearby Idaho and Montana.
In these scams, workers are contacted by phone, email, social media apps such as Facebook Messenger or WhatsApp, or video calls. The scammers try to convince the worker to appear at an online workers’ compensation hearing, and at times, this results in an official appearing order in their favor. Thereafter, they are told must pay money to receive the workers’ compensation benefits or the settlement for their claim. These communications may appear official and the hearings may include a fake judge, attorney, or government representative. The Oregon Workers’ Compensation Division (WCD), part of DCBS, and the Workers’ Compensation Board (WCB) will never ask anyone to pay to receive benefits.
Here’s what you should know:
WCD, WCB, and insurance companies do not ask for payment to release workers’ compensation benefits. Never pay money up front for benefits or settlements.
WCD and WCB will never ask for payment via gift cards, wire transfers, or cryptocurrency. Be skeptical of any requests for payment.
Official communications from WCD and WCB will not pressure you to act or pay immediately.
WCB, which conducts workers’ compensation hearings, does not charge or collect fees for hearings or mediation.
WCB does not use social media or applications such as Facebook Messenger or WhatsApp to communicate with parties about hearings or mediations.
If you are unsure whether a communication is legitimate, do not send money or personal information. Verify before you act by contacting the Ombuds Office for Oregon Workers by phone at 800-927-1271 (toll-free) or email at oow.questions@dcbs.oregon.gov. The office serves as an independent advocate for workers by helping them understand their rights, benefits, protections, and responsibilities within the workers’ compensation system and workplace safety and health laws and rules.
If you believe a scammer has contacted you:
Report the incident to local law enforcement
Report any scams, fraud, or suspicious business activity to the Oregon Department of Justice’s fraud hotline at 1-877-877-9392 (toll-free)
Report the scam to the Oregon Department of Justice and the Ombuds Office for Oregon Workers
Early reporting helps others from becoming victims
If someone representing an insurance company is calling and threatening you, contact the Oregon Division of Financial Regulation, also part of DCBS, at 1-888-877-4894 (toll-free).
Washington — WSRB CEO Karl Newman Retires: The Board of Directors of Washington Surveying & Rating Bureau (WSRB) is announcing that President & CEO, Karl J. Newman, will retire for health reasons at the end of March 2026.
Mr. Newman has served as WSRB’s President & CEO for more than 10 years, and led a major transformation of our technology, processes, and culture. He will continue to serve on the WSRB Board of Directors and will be an ongoing resource for our new CEO and WSRB during the transition. The WSRB board is grateful for Mr. Newman’s service and wishes him the best in his next adventure.
The WSRB Board of Directors also has unanimously appointed WSRB Chief Operating Officer, Cori Medrano, as WSRB’s new President & CEO, effective April 1. Ms. Medrano has been a key driver behind WSRB’s Core Business Modernization initiatives across the organization, adding new tools and resources for subscribers, and plays a vital role in WSRB’s professional development initiatives. With Ms. Medrano’s 35 years in the insurance industry, the WSRB Board is confident in her skills and abilities, as she leads WSRB into our next chapter.
Washington — Preventive services protections bill passes Washington state House of Representatives: Legislation protecting preventive services passed the Washington state House of Representatives on Wednesday, Feb. 11, by a 57-39 vote.
House Bill 2242, requested by Gov. Bob Ferguson and Insurance Commissioner Patty Kuderer, maintains access to preventive services without cost-sharing for people who choose to use them. Washington residents have had access to no-cost preventive services since 2010.
“Many of these services help with early detection of serious medical issues. People who choose to use these benefits do so to help keep themselves and their loved ones healthy,” Kuderer said. “They depend on the recommendations coming from highly trained medical experts, not those made in response to political pressures."
Currently, those preventive services are based on recommendations from the federal Advisory Committee on Immunization Practices (ACIP), the U.S. Preventive Health Services Task Force, and the Health Resources and Services Administration. The federal government recently narrowed access to certain vaccines.
HB 2242, sponsored by Rep. Dan Bronoske (D–Lakewood), changes state law to tie the coverage of vaccines to recommendations from the Washington state Department of Health. The bill sets the coverage standards for other preventive services based on recommendations from the U.S. Preventive Services Health Task Force and Health Resources and Services Administration, effective on June 30, 2025.
“Guaranteeing access to preventative services for health conditions diagnosed and treated early are key to maintaining quality of life and lowering overall costs,” said Rep. Bronoske, adding that the preventive health services include well-child visits, cancer screenings, immunizations, and chronic disease management.
A companion bill — Senate Bill 5967, sponsored by Sen. Annette Cleveland (D-Vancouver) — awaits a vote by the full Senate.
The Department of Health and Kuderer’s office would be responsible for implementing the new law, should it pass.
Washington — Wildfire risk scoring transparency bill passes state Senate: Insurance Commissioner Patty Kuderer’s bill to provide consumers with more information about the wildfire risk scores impacting their home insurance passed out of the Washington state Senate on Wednesday, 48-1.
Kuderer called Senate Bill 5928, requested by her office and prime sponsored by Sen. Judy Warnick (R – Moses Lake), a common-sense consumer protection bill.
“These wildfire risk scores are instrumental in a lot of homeowners finding coverage, but learning any of the specifics can be challenging,” Kuderer said. “If your home is being evaluated and there’s financial consequences for you, you deserve to know where that score came from and what you can do to improve it.”
Insurance companies use third-party wildfire risk scores to evaluate a property’s exposure and to determine eligibility for coverage, pricing, and renewals. Companies establishing these scores use satellite imagery, property data, insurance loss data, and fire science to create wildfire risk assessments, down to the individual property level, and then sell these scores to insurance companies.
Wildfire risk scores are separate from Washington Surveying & Rating Bureau classifications, which evaluate community-level data on fire response, not property conditions. They’re also different than climate-related risk scores available on real estate websites, which aren’t used in insurance underwriting.
These scores, however, may fail to account for community or property-level mitigation efforts.
The bill requires insurance companies to disclose wildfire risk scores when used, explain the factors behind the score, and provide plain-language steps consumers can take to improve their score. Property owners who have done mitigation work since their last evaluation, or see demonstrable inaccuracies with their current evaluation, will be able to appeal those decisions.
Representatives from the Washington Hospitality Association, Washington Realtors, the Confederated Tribes of the Colville Reservation, and the Washington Fire Chiefs Association all signed on in support of the bill during public testimony hearings. The bill now moves to the House of Representatives for consideration.