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Homeowners Insurance in Arizona

Checked against official sources · Last reviewed October 13, 2026

In Arizona, an insurer that won't renew your home policy must send written notice, with the specific facts behind its decision, at least 30 days before the policy ends. If the reason is a fixable problem at your home, the law gives you 30 days to fix it, and if you think that nonrenewal is arbitrary you can object in writing to the Department of Insurance and Financial Institutions (DIFI). Arizona's insurance department doesn't point homeowners to a state FAIR plan; if no licensed insurer will take you, its 2026 insurer list points you to an independent agents' association or the Arizona Surplus Lines Association. [1][2][3][4][5]

At a glance

Nonrenewal notice
At least 30 days before the policy period ends, in writing, with specific facts (A.R.S. 20-1653, 20-1654) [1][2]
Fixable problem at your home
30 days to remedy If not remedied, 30 more days on payment of premium (A.R.S. 20-1652) [3]
State FAIR plan
None listed by DIFI Its 2026 guide points to licensed insurers, agents and the Arizona Surplus Lines Association [5][6]
Rates
"Use and file": insurers can use a new rate right away and file it with DIFI within 30 days [6]
Consumer help
(602) 364-3100 Spanish (602) 364-2977; Mon.-Fri. 9 a.m.-4 p.m. [7]
FAIR planNo state FAIR planNone listed by DIFI; its 2026 guide points to licensed insurers, agents and the Arizona Surplus Lines Association What to do instead →
State insurance regulatorArizona Department of Insurance and Financial Institutions (DIFI) (602) 364-3100 · File a complaint

What homeowners insurance costs in Arizona: average premium, 2023 $1,194 a year in Arizona vs. $1,737 countrywide · 42nd highest of 51 · All states (HO-3 policies; NAIC)

On this page
  1. At a glance
  2. Arizona's market right now
  3. Last resort: no state FAIR plan listed
  4. If your insurer drops you
  5. Wildfire mitigation
  6. Surplus lines
  7. Flood is separate
  8. Where to get help
  9. Questions people ask
  10. FEMA disaster history
  11. Hail, wind and wildfire

Arizona's market right now

DIFI lists the problems it sees: premiums "are increasing across the state, not just in wildfire-prone areas," and "Consumers in wildfire-prone areas may experience non-renewals and struggle to find replacement coverage." It also warns that "Increased flood risks often follow wildfires (post-fire flooding)."

[6][8][9][10][11][12]

Last resort: no state FAIR plan listed

Some states have a FAIR plan, a last-resort source of basic property insurance for homes the regular market won't cover (see our FAIR plan guide). The Council's report says Colorado's FAIR Plan "was designed to provide limited coverage so that it would not compete with the private market." DIFI's homeowners and wildfire pages don't list one for Arizona. The Resiliency and Mitigation Council was asked to study strategies "undertaken ... by other states," including "an insurer of last resort," and its report reviews Colorado's FAIR Plan as another state's approach.

What DIFI does point to:

[5][6][8][13]

Arizona's FEMA disaster record since 2000

Federal disaster declarations for Arizona, counted from FEMA's official declarations data. A "major disaster" declaration brings federal recovery aid; a "fire management" declaration helps pay to fight a wildfire that threatens homes.

66Wildfires3 major disasters · 63 fire management
12Severe storms and tornadoes12 major disasters
5Floods5 major disasters
1Winter storms1 major disaster

Most recent

Source: FEMA OpenFEMA Disaster Declarations Summaries, downloaded 2026-10-14. Each declaration counted once, however many counties it covers. Flood history and flood insurance: FloodHawk.

Hail, wind and wildfire in Arizona

Hail, thunderstorm wind and tornado reports

Severe weather reports logged by the National Weather Service in NOAA's Storm Events Database, July 2025 to June 2026 (the latest 12 months NOAA has published), next to the yearly average for 2016 to 2025.

42Hail 1 inch or largeraverage 27 a year
130Thunderstorm windaverage 151 a year
7Tornadoaverage 5.8 a year

Largest hail in those 12 months: 2.75 inches, Graham County, September 12, 2025.

Most reports of 1-inch-plus hail, 2016–2025: Maricopa (62), Yavapai (38), Pima (36), Coconino (30), Cochise (23).

Source: NOAA NCEI Storm Events Database, downloaded October 14, 2026. NOAA adds each month about 75 to 90 days after it ends. Tornadoes are counted in NOAA's segments: one that crosses a county line counts once per county, and one that briefly lifts and touches down again can count twice. Reports depend on people seeing and reporting storms, so busier areas log more of them: these counts show how often storms are reported, not the risk to any one home.

Wildfire

Homes in Arizona have, on average, greater wildfire risk than 86% of states, and greater wildfire likelihood (the chance of a wildfire burning in any given year) than 82% of states, according to the USDA Forest Service.

Of Arizona's 3,025,278 buildings, 25% are in the Forest Service's direct exposure zone (they may be ignited by flammable vegetation next to them, as well as by embers), 27% in the indirect exposure zone (embers or a neighboring burning building), and 48% have minimal exposure.

Source: USDA Forest Service, Wildfire Risk to Communities (state data table updated April 15, 2026). The Forest Service says its ratings describe communities, not individual homes; they don't reflect work owners have done to lower their risk, and the tool isn't designed for insurance companies, which do their own wildfire assessments.

Wildland fires and acres burned in Arizona
YearFiresAcres
20211,773524,428
20221,432124,165
20231,837188,483
20242,191282,989
20251,593326,813

Source: National Interagency Coordination Center annual reports (table "Wildland Fires and Acres Burned by State and Agency", from the SIT/209 reporting system). Each year counts only the agencies listed for Arizona in that year's table, so a big change between years can come from which agencies reported.

2026 so far: 64,658 acres burned in wildfires reported to the national interagency fire-incident system (IRWIN) for Arizona, as of October 14, 2026. Preliminary: from NIFC's year-to-date wildfire locations (WFIGS), which doesn't include every state and local fire and isn't comparable to the annual totals above.

If your insurer drops you

Arizona's rules (A.R.S. 20-1651 to 20-1656) cover policies on homes of up to four units, the belongings of people living there, and personal liability.

Objecting to DIFI: If you believe a nonrenewal based on the condition of your home is "arbitrary or capricious," the law lets you use the objection process in A.R.S. 20-1633: file a written objection with the DIFI director within ten days after you receive the notice. Under that section, the director must approve or disapprove the insurer's action within fifteen days of receiving your written objection.

If you have a mortgage: your lender may buy "force-placed" insurance if your policy is cancelled and you don't replace it. DIFI says this "usually is significantly more costly" than buying your own policy. More: homeowners insurance nonrenewal. [1][2][3][4][6][14][15]

Wildfire mitigation

DIFI says reducing risk "is the necessary element to lowering insurance premiums in our state." The Council's 2025 report says some insurers may "factor recognized mitigation certifications into underwriting decisions by offering premium discounts or coverage guarantees." Ask your insurer or agent which mitigation steps or certifications it recognizes.

Low-cost steps the Council lists:

DFFM's Be Ready page describes three zones to maintain (0-5 feet, 5-30 feet and 30-100 feet), Class A roofing, fire-resistant siding and boxed-in eaves.

Firewise USA: DFFM is the state liaison for the National Fire Protection Association's Firewise USA program and works with homeowners associations, communities and neighborhoods on Firewise USA training for residents. Arizona has more than 215 Firewise USA sites, including 35 new ones in 2025. Contact DFFM through its Firewise page. More: wildfire home hardening. [6][8][16][17]

Surplus lines

Surplus lines (also called nonadmitted) insurance is coverage placed with an insurer that is not licensed to transact insurance in Arizona, or with a domestic surplus lines insurer. Under Arizona law it is procured through a licensed surplus lines broker, generally only when the coverage "is not procurable, after diligent effort," which the law defines as having sought it from at least three insurers authorized in Arizona (or when it is a recognized surplus line). A person can't act as a surplus lines broker for an Arizona insured without a current surplus lines broker license from the DIFI director.

The guaranty fund doesn't cover them. If a licensed insurer fails, the Arizona Property and Casualty Insurance Guaranty Fund pays covered claims up to the policy limits or $300,000, whichever is less, minus a $100 deductible. The law defines its members as licensed insurers and leaves out insurers whose writing is "restricted solely to ... surplus lines insurance." More: surplus lines insurance. [18][19][20][21][22]

Flood is separate

DIFI says "Damage caused by flooding is not covered by standard homeowners insurance," and that flooding risk often rises after a wildfire. For flood zones and flood insurance, see our sister site FloodHawk. [6]

Where to get help

[6][7][23]

Questions people ask

Does Arizona have a FAIR plan?

DIFI doesn't list a state FAIR plan or other insurer of last resort for Arizona homeowners. Its 2026 guide lists licensed insurers that may write homes in forested and WUI areas and, if none will insure you, suggests the Arizona Independent Agent & Brokers Association or the Arizona Surplus Lines Association. [5][6][13]

How much notice must an Arizona insurer give before nonrenewing my home policy?

At least 30 days before the end of the policy period, in writing, stating the specific facts behind the decision. If it doesn't, it must renew your policy when you pay the premium. [1][2]

My Arizona insurer says it won't renew because of brush or my roof. What can I do?

If the nonrenewal is based on the condition of your home, Arizona law gives you 30 days' notice to fix it, and the insurer must renew if you do. If you think the decision is arbitrary or capricious, you can file a written objection with DIFI within ten days after you receive the notice. [3][4][6]

Will asking my insurer a coverage question count as a claim in Arizona?

No. Arizona law says an insurer can't treat an inquiry about coverage as a claim or use it to decline, nonrenew or cancel you. DIFI suggests saying clearly that you're making an 'inquiry' and not filing a claim. [3][6]

Sources (23)
  1. A.R.S. 20-1654: Sending notice of intention not to renew to insured; time; term of policy, Arizona State Legislature. Accessed October 13, 2026.
  2. A.R.S. 20-1653: Sending notice of cancellation or nonrenewal to insured, Arizona State Legislature. Accessed October 13, 2026.
  3. A.R.S. 20-1652: Grounds for valid notice of cancellation; inquiries; definitions, Arizona State Legislature. Accessed October 13, 2026.
  4. A.R.S. 20-1633: Objections; investigation; determination, Arizona State Legislature. Accessed October 13, 2026.
  5. Homeowners Insurance Companies: Forested & WUI Areas (updated May 15, 2026), Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.
  6. Home Insurance | Consumer Information, Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.
  7. Agency Directory, Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.
  8. Resiliency and Mitigation Council 2025 Final Report, Arizona Department of Insurance and Financial Institutions / Arizona Department of Forestry and Fire Management. Accessed October 13, 2026.
  9. Resiliency and Mitigation Council, Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.
  10. HB 2054, Laws 2025, Chapter 222 (A.R.S. 20-123 and 20-127), Arizona State Legislature. Accessed October 13, 2026.
  11. Fire Insurance Review Task Force, Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.
  12. Homeowners Insurance Wildfire Data Call, Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.
  13. Wildfire Resources, Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.
  14. A.R.S. 20-1651: Application; types of risks, Arizona State Legislature. Accessed October 13, 2026.
  15. Arizona Joins $15.5 Million Settlement with Company that Wrongly Charged Homeowners (Aug. 24, 2026), Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.
  16. Be Ready, Arizona Department of Forestry and Fire Management. Accessed October 13, 2026.
  17. Firewise USA, Arizona Department of Forestry and Fire Management. Accessed October 13, 2026.
  18. A.R.S. 20-401: Definitions (surplus lines), Arizona State Legislature. Accessed October 13, 2026.
  19. A.R.S. 20-407: Surplus lines; brokers, Arizona State Legislature. Accessed October 13, 2026.
  20. A.R.S. 20-411: Licensing of surplus lines broker; examination, Arizona State Legislature. Accessed October 13, 2026.
  21. A.R.S. 20-661: Definitions (Property and Casualty Insurance Guaranty Fund), Arizona State Legislature. Accessed October 13, 2026.
  22. Guaranty Funds, Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.
  23. Arizona DIFI Complaint Guide, Arizona Department of Insurance and Financial Institutions. Accessed October 13, 2026.

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