Governor Newsom Signs Legislation to Strengthen Wildfire Recovery

September 15, 2026 – Governor Newsom signed a package of legislation to strengthen California’s long-term wildfire recovery system, building on the state’s work with survivors of the Eaton and Palisades fires, and producing tools for wildfire survivors across the state. The new laws create first-in-the-nation standards for testing and remediating hazardous wildfire smoke contamination for future fires and require insurers to cover qualifying smoke-damage testing, remediation, and restoration. The bills also permanently extend mortgage forbearance protections for disaster-affected homeowners.

First-in-the-nation science-backed standards for smoke damage claims:
Assembly Bills 1642 (Harabedian) and 1795 (Gipson) direct the Department of Toxic Substances Control (DTSC) and the California Air Resources Board to develop the state’s first protections for testing, remediation, and restoration of lead and asbestos contamination from wildfire smoke, for homes within a fire’s zip codes. It also requires DTSC to issue guidance to help schools recover after a wildfire. The legislation also requires insurers to pay for lead and asbestos testing and remediation in smoke-damaged homes within a wildfire zone, cover full cleanup and restoration to pre-loss condition, and bars insurers from cutting off Additional Living Expense coverage until a home is actually remediated and safe to occupy.

More time and flexibility on mortgages:
Assembly Bills 1842 and 1847 (Harabedian) create automatic protections and processes in law following a disaster to provide borrowers a path away from foreclosure. This landmark legislation also doubles the mortgage forbearance window available by law for LA fire survivors, from 12 months to 24 months, and requires servicers to offer borrowers the option to defer repayment of missed payments until the end of the loan, unless prohibited by investor contract terms or servicing guidelines.