Homeowners and landlords in California are grappling with a significant rise in insurance premiums, which have increased by 6% this year and nearly 20% over the last two years, largely due to heightened wildfire risks and escalating repair costs. Major insurers like Allstate and State Farm have halted new policies, leaving landlords with limited options and forcing them to consider the expensive FAIR Plan, the state's insurer of last resort. This insurance crisis is exacerbating the housing crisis, as rising costs are passed onto tenants, contributing to an unprecedented surge in rental prices across California. With average rents for 2-bedroom apartments increasing over 50% in five years, many renters are struggling to afford housing, particularly in urban areas like San Francisco and Los Angeles. Experts warn that the combination of soaring costs and regulatory limitations on rent increases may drive landlords to exit the market, further destabilizing the housing landscape. The situation reflects broader economic pressures affecting both homeowners and renters, with many feeling forced to cut back on living expenses or consider selling their properties.