INSURANCE

Homeowners Insurance Still Available: A Consumers Union survey of more than 100 escrow companies in Los Angeles and the San Francisco Bay Area shows that although consumers are having to shop around more and pay higher prices, they are still able to obtain homeowners insurance. California law requires insurers to offer earthquake coverage to their homeowners customers. After incurring $12 billion in losses in the 1994 Northridge earthquake, insurers sharply curtailed their sales of both kinds of coverage. They are also pressing the Legislature for passage of the California Earthquake Authority, a public-private entity that would shift much earthquake risk away from the industry and onto consumers and the state. But despite dire warnings from the industry and some state officials that homeowners insurance would dry up, San Francisco-based Consumers Union said its survey shows coverage is still available. Of 108 escrow companies surveyed, only two reported having seen a home sale fall through for lack of insurance.