In 2019, there were 7,628,017 single-family homes in California (according to the Census). If 90% are insured, it would be around 6,865,215 households to split the $500 million, or $73 per house. In anticipation of future disasters, just make it $100 per insured house while you’re at it.

Homeowners likely will be on the hook for a share of a massive bailout of California’s insurer of last resort after it ran out of money to pay claims arising from the devastating Los Angeles wildfires.

State regulators announced this week that they will allow the program, known as the FAIR Plan, to collect $1 billion in emergency payments from private insurers — who are expected to pass a significant portion of those costs on to policyholders across the state.

“This is essential to prevent even greater strain on California’s already unbalanced insurance market and avoiding widespread policy cancellations that would jeopardize coverage for millions of Californians,” the American Property Casualty Insurance Association said in a statement.

It’s still unclear how much homeowners would have to pay, which homeowners would be charged, when they would see a new fee or how long an increase on their premiums could last.

The amount of money insurance companies must contribute to the FAIR Plan will be based on their market share in California. Under state law, insurers can pass along a surcharge of up to half of the $1 billion assessment.

The FAIR Plan is a state-mandated, high-risk pool of private insurers for homeowners who can’t find traditional coverage. In recent years, the number of policyholders on the plan has ballooned to more than 350,000 as insurers have ended homeowners’ coverage across the state amid worsening climate-driven wildfire seasons.