State Farm canceled hundreds of homeowners’ policies last summer in the Pacific Palisades area, now affected by severe wildfires. Many insurers defended the move due to rising wildfire risks and regulations limiting premium increases.

State Farm is being accused of canceling thousands of fire insurance policies in California right before the massive wildfires. More than 10,000 homes and businesses have been destroyed as multiple wildfires continue to ravage parts of Los Angeles County,

State authorities previously listed the Palisades as one of the five Southern California areas with the highest concentration of potential wildfire risks. The community also is among the areas most impacted by an unavailability of insurance coverage.