California home insurance prices set to spike 16% in 2026, leading the entire nation as prices surge

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California homeowners face a 16% jump in insurance premiums in 2026, the steepest increase in the nation. The spike reflects insurers' mounting costs from devastating wildfires and other climate-related damage that have ravaged the state in recent years. Major carriers have already requested rate hikes, and regulators have begun approving them. The surge threatens affordability for millions of residents already grappling with high housing costs, while some insurers have exited the market entirely, leaving fewer options for coverage.