No you don’t, depending on the circumstances.
Here’s why and what to know.
What Is California Insurance Code § 10103.7?
Insurance Code § 10103.7 is a California law that gives homeowners certain rights after a declared state of emergency.
Subsection (b)(1) states that if there is a “covered total loss” of your furnished home (your primary dwelling), your insurance company “shall offer a payment” under your personal property coverage in an amount no less than 60% of your personal property limits, up to a maximum of $350,000 without filing an itemized claim.
Let’s break that down with an example. You have homeowners insurance with $500,000 personal property coverage. A fire completely destroys your home, and all the personal property in your home. You open a claim with your insurance company. Under Insurance Code § 10103.7(b)(1), your insurance company must pay you up to $300,000 (60% of $500,000) without you submitting an itemization.
What Else Does California Insurance Code § 10103.7 State?
There is some more information you should know.
First, subsection (a) allows you to combine limits and apply them to rebuilding, but only if Coverage A Dwelling limits are insufficient for the rebuild. In effect, Coverage B Other Structures becomes supplemental dwelling rebuild money.
Second, subsection (b)(2) says that you can recover additional money, up to the personal property policy limits, after receiving payment under (b)(1). But you have to file a claim and otherwise follow the terms of the insurance policy.
Third, and importantly, your insurance company must tell you about your right to receive payment under (b)(1) and (2). See Insurance Code § 10103.7(b)(3).
Fourth, payments for scheduled personal property are paid separately and not under this subsection. Scheduled personal property is high-value personal property that is individually listed on the policy. It’s usually done through an endorsement.
Fifth and final, you may have to sign an “attestation form” before the insurance company pays you under subsection (b)(1). That’s not an itemization. It’s basically a form allowing you to state that your home was furnished and that you reasonably believe that your damaged personal property has value equal to or exceeding the amount of the payment.
What Is the Effective Date of Insurance Code § 10103.7?
The effective date is January 1, 2026. Before that, the percentage was 30, not 60, and the limits were $250,000, not $350,000. The change was due to SB 495.
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