As wildfires grow more frequent and severe, insurers are no longer pricing risk by location alone — they’re underwriting based on how resilient a property is, pushing operators to firm up their hotels.
Insurance costs are rising due to the increasing frequency and severity of wildfires, leading insurers to reassess risk.
Hotels are enhancing their resilience by implementing fire-resistant materials, creating defensible spaces, and improving evacuation plans.
Insurers are now considering a property's resilience and mitigation measures in addition to its location when underwriting.
Hotels can lower their premiums by investing in fire safety measures, improving infrastructure, and demonstrating risk management practices.