In a shocking revelation, homeowners across California are discovering that their insurance companies are spying on them via satellite and drone surveillance—and dropping coverage based on what they see, even if it’s wrong. CSAA Insurance Group and other major firms now routinely use aerial imagery to assess properties, sparking outrage as customers report losing coverage over minor or mistaken findings. In one high-profile case, longtime San Francisco resident Jean Willard lost her home insurance after CSAA spotted what they claimed was water pooling on her roof. But Willard insists the so-called “damage” was simply from a recent storm, not an indicator of roof decay. Despite her pleas and even a follow-up inspection, CSAA canceled her policy, citing potential water infiltration issues spotted from space.
Another homeowner in Monterey County faced a similar fate after aerial photos mistakenly identified broken-down cars, dying trees, and debris around his property. The problem? These objects were on his neighbors’ lots, only differentiated from his by letters—an error he says would have been obvious with an in-person visit. After weeks of wrangling and a copy of his deed proving the error, he finally got his coverage reinstated, but the experience left him feeling abandoned by his insurer.
This shift to “spy tech” is a growing trend in the insurance world, according to Piers Dormeyer, CEO of aerial imagery provider EagleView, which supplies data to nine of the top 10 U.S. insurers. Dormeyer insists that satellite and drone images offer efficiency and safety for insurers, who no longer need inspectors on rooftops. But while this technology promises savings, it’s also leaving a trail of disillusioned, uncovered customers. “Carriers aren’t looking for reasons to drop customers,” Dormeyer says, yet stories like Willard’s and others are mounting, with frustrated homeowners facing dropped coverage over alleged “issues” spotted from thousands of feet in the air.
Insurance watchdogs are calling out this practice as invasive and often flawed. Consumer advocate Amy Bach advises homeowners to demand access to the aerial images used against them, as mistakes are frequent. “Sometimes, those images are blurry or misleading,” she says, noting that skylights or solar panels have been misinterpreted as roof damage.
With insurers increasingly relying on this technology, homeowners fear the power of drones and satellites could unfairly impact them, leaving policyholders worried about whether their homes are protected—or being secretly scrutinized.
