CA AB1236

Establishes the Climate and Sustainability Insurance and Risk Reduction Grant Program within the Department of Insurance, to be funded through legislative appropriation

Program goals include developing proof-of-concept insurance mechanisms like community-based and parametric insurance to close protection gaps in vulnerable communities exposed to wildfire, flooding, extreme heat, and biodiversity loss

Tests community-purchased insurance models to reduce costs, paired with risk reduction activities, and supports projects using nature-based solutions for risk reduction and ecosystem services

Requires the Department of Insurance to report to the Senate and Assembly Insurance Committees on program results by January 1, 2029, and every 3 years thereafter

Program provisions automatically sunset on January 1, 2035