Zillow Redirects Climate Risk Info Amid MLS Data Compliance and Insurance Cost Pressures

Zillow has recently changed how it presents climate risk information on its home listings, redirecting users to the website of its data provider First Street instead of displaying the data directly on property pages. This update responds to varying requirements posed by multiple MLS (Multiple Listing Service) organizations, aiming to maintain compliance and a unified consumer experience across different jurisdictions. The company emphasized continued commitment to providing important information for insurance, repair costs, and long-term homeownership planning. The move follows ongoing industry debates concerning data ownership and the presentation of climate risk on real estate platforms. Although some reports suggested pressure from the California Regional Multiple Listing Service (CRMLS) influenced Zillow's change, Zillow clarified that the update applies broadly to all listings, not just those under CRMLS. Other platforms, such as Redfin, continue to display property-level climate risk data. CRMLS representatives denied recent amendments to their MLS standards that would mandate Zillow’s change, highlighting the complexity of data governance disputes within the sector. These disputes reflect broader conflicts among major real estate industry stakeholders over control and use of listing data, illustrated by a separate disagreement between CRMLS and Compass regarding data licensing agreements. In parallel with these data and compliance issues, homeowners face escalating insurance costs, particularly in California. The average annual increase in homeowners insurance premiums is projected at around 10-14% through 2027. California agents report increasing difficulty for buyers in obtaining insurance, with more sales falling through due to insurers’ reluctance. This underscores the growing impact of insurance market dynamics on home buying and ownership decisions. The shift in how climate risk data is displayed on major real estate portals reflects both regulatory compliance challenges and market realities tied to insurance affordability and risk awareness. For insurance professionals, this development signals the need to monitor evolving data standards in home listings and the implications of rising insurance costs on housing market activity and risk management strategies.