WILDFIRE RISK INSURANCE MODELS & UNDERWRITING

HB 204 requires New Mexico homeowners insurance companies to disclose how they use wildfire risk models in pricing and underwriting. Insurers must submit model details to the insurance superintendent, explain how property-specific (like defensible space) and community-level (like forest treatment) mitigation efforts affect premiums, and provide clear discounts for these actions. Policyholders will receive annual written notices explaining their risk score, available discounts, and how mitigation actions could lower their premiums, with a process to appeal inaccurate scores. The bill applies only to homeowners and residential condo/multifamily property insurance policies.