A wildfire that is the subject of a Governor-declared state of emergency destroys an insured's California home. Under Insurance Code §2060, for how long must the policy's additional living expense coverage run?

Explanation

Section 2060(b)(1) provides that where the loss relates to a state of emergency, coverage for additional living expenses shall be for a period of no less than 24 months from the inception of the loss. The insurer must then grant an extension of up to 12 additional months — 36 in total — where the insured is delayed in reconstruction by circumstances beyond their control, such as permit delays, shortages of materials or unavailability of contractors, with further six-month extensions available for good cause. (a) quotes the separate two-week minimum §2060 sets for a loss in which an order of civil authority denies access to the residence, which is a different subdivision and a different situation; (c) names a 12-month floor the statute does not contain; and (d) is wrong because §2060 imposes a statutory minimum that the declarations page cannot undercut.