House passes bill to increase transparency in wildfire risk scoring used by insurers

The Colorado House passed House Bill 11‑82 on March 19, 2025, a bill intended to increase transparency around wildfire risk scores and the models insurers use for underwriting and pricing property insurance.

Representative Dylan Brown, a sponsor, described the measure as aimed at “promoting transparency and accountability in the wildfire risk score and the models and empowering Coloradans to make informed decisions about mitigation.” Committee amendments removed a mandate requiring insurers to incorporate state‑level mitigation into models and instead gave insurers the option to provide discounts for mitigation actions; the bill also narrowed commercial applicability and moved the effective date to July 1, 2026.

The Business Affairs and Labor committee added confidentiality protections for proprietary models filed with the insurance commissioner and narrowed the bill’s commercial scope so it applies to commercial properties only when they include multifamily residential housing. Supporters said the changes addressed industry concerns while retaining consumer protections and transparency measures.

Sponsors and members from wildfire‑affected districts argued the bill will help homeowners contest inaccurate model inputs — for example, incorrect GPS coordinates — and make mitigation discounts and underwriting assumptions more visible. Representative Tatum noted that allowing consumers and local officials to correct model inputs can reduce costs for homeowners and support a more stable insurance market.

The House adopted the Business Affairs and Labor committee report as amended and then passed House Bill 11‑82 on final passage; the motion carried and the bill was recorded as passed.