The California FAIR Plan Association, the state’s property insurer of last resort, announced it will use climate and property analytics provider ZestyAI’s Z-FIRE wildfire risk analytics product to properly assess wildfire risk in California.

The FAIR Plan recently received approval from the California Department of Insurance (CDI) to use ZestyAI’s Z-FIRE wildfire risk analytics product when setting rates for dwelling policies.

The technology is expected to assist the FAIR Plan to assess individual insured location risk to determine more accurate premiums for policyholders, allowing the plan to distribute rates more equitably across the state and ensure that properties receive risk-appropriate rate adjustments.

Previous models used by the FAIR Plan did not distinguish between properties that are highly mitigated and those that are not.

“The California FAIR Plan is in a unique position as holder of the highest concentration of wildfire risk of any insurer in California,” said Attila Toth, founder and CEO of ZestyAI.

Z-FIRE’s property-specific, transparent risk scores will enable property owners to take an active role in lowering wildfire risk through mitigation and, potentially, their insurance premiums.