IDAHO, USA — Nestled behind Bogus Basin, in the middle of the Boise National Forest, sits a small town called Placerville. The town of 53 is known for its forest solitude – but that forest solitude – isn’t what home insurance companies are looking for.
It’s a problem resident Steve Koppes has felt firsthand. He was dropped from his home insurance company a year and half ago, because his home was in a wildfire-prone area.
“I was dropped. I didn't get a letter, I didn't get notification, I didn't get reasons. I was just dropped,” Koppes said.
Dropped Insurance: First Hand Experience
Koppes had had the same insurance for years, and never had a claim of any kind. But, because his home was in a high-risk area, he said he was dropped.
“Somebody at a desk somewhere comes up with zones, and it's a circle, and then another circle, another circle and another circle. And if you're in one of those circles, and they determine that hazard, you get dropped,” Koppes said.
Each city is ranked on a scale by the Idaho Insurance Ratings Bureau, and Placerville has sat at a level eight since 2010.
“All homes in the United States are rated on a number system, and the higher the number, the worse off you are,” Placerville Fire Chief Andrew Bourett said.
Bourett said he has done everything he could to make that rating lower – to make getting home insurance easier – but he said it’s been a challenge because of Placerville’s remote location.
“Whether an insurance company is willing to insure up here is obviously the risk,” Bourett said.
After Koppes was dropped by his insurance, he was able to find a new insurance company, but it came with a higher cost. He said his neighbors have been dropped too – and if they haven’t already, they are expecting it.
“It'll happen to everybody eventually,” Koppes said.
Koppes isn't alone -- from 2021-2024, six percent of homeowners who were surveyed across the U.S. were dropped from their home insurance policy because they lived in a wildfire prone area, according to a PolicyGenius Climate Change and Homebuying survey.
Idaho’s 2024 Wildfire Season
Several communities around the Gem State have faced wildfires in 2024. The National Interagency Fire Center said 1.2 million acres of land burned this year in the Great Basin, which includes Idaho, Nevada and Utah.
Within that, 52 homes burned altogether in Idaho. 38 burned in the Gwen fire, eight in the Wapiti fire, four in the Texas fire, one in the Paddock fire and one in the Lava fire.
This year, Placerville was spared, but fires still came relatively close – and Bourett said the Placerville Fire Department, which is all volunteer, spent much of their summer helping their neighbors out.
“It’s been a stressful season,” Bourett said.
Efforts to Find a Solution
Fires have come close to Placerville in the past, which is why having home insurance is even more important, and it’s not even an option to be uninsured, Koppes said.
“You got to be insured. You know, this place burns down – these trees are gone, then it’s gone. You're not going to rebuild a bunch of burned down trees. So, it's important to have it,” Koppes said.
So, Koppes put his mind to finding solutions – and making his home as fire resistant as it could be, in order to not get dropped from his insurance again, and to try to keep his rates down.
He cut the ladder fuel off all trees around his home, established fire breaks and put rock around his home.
“If there's a fire over there, it won't get to me,” Koppes said.
And the city of Placerville is doing what they can too. Bourett said the way to make the rating for home insurance companies to look at to go down is to have more water supplies.
Placerville has two: a pond owned by BLM and a new underground water cistern – that can hold up to 30,000 gallons of water. The sooner water can get to burning land – or to homes – the better the ranking can be, Bourett said.
“We're in a unique area because it's a wildland interface area, so you have small homes and cabins that are in the forest,” Bourett said.
While he said it’s a risk to live in Placerville, it’s still worth it for the peace and solitude the small town brings – and he said the town will continue to fight for their home insurance rates to stay down and available – together.
“I'm not seeing it [finding insurance] being impossible, but it's definitely a little bit harder and more of a challenge,” Bourett said.