California FAIR plan insurance Newsom.

California Gov. Gavin Newsom has signed a bill to prevent the state’s plan that provides insurance to homeowners who can’t get private coverage from running out of money. The FAIR Plan is designed as a temporary option until homeowners can find permanent coverage, but more Californians are relying on it than ever. It needed a $1 billion bailout earlier this year after the Los Angeles fires destroyed more than 17,000 structures. The new law allows the FAIR Plan to request loans and bonds to spread out its financing claims payments. Supporters said the new financial tools will prevent future bailouts after a major disaster.