As the wildfires burning in California fuel an insurance crisis, the sparks are already flying in Colorado.Last summer, John Wright, a Silverton resident who has lived in his home for decades, said his insurance carrier sent him a letter of non-renewal, citing "greater than average brush fire exposure.""I have [five] neighbors in a similar situation on the same hillside as I am now," Wright said.He's one of many Coloradans across the state who are dealing with skyrocketing rates and dropped coverage due to fire risk."We're not at a crisis point yet, but we're getting there," said Carole Walker, an insurance industry spokeswoman, who said it is not "if but when" Colorado will have another wildfire disaster."While there shouldn't be a direct impact on premiums in Colorado because of the fires in California, there is a ripple effect. That does create problems with 'reinsurance,' that's the insurance that insurance companies purchase to protect themselves from catastrophic events. We're going to see really some unprecedented problems here," she said.Skyrocketing insurance costs were part of Gov. Jared Polis' State of the State address last week, calling for reforms."We need to start somewhere, and we need to start now," said Polis.Several bills are already in the works. One bill would require insurers to give homeowners, communities, and the state more information about modeling used to determine risk and how to mitigate wildfire scores."We want the insurance companies to tell us in plain terms what we are doing and what they expect us to do, so that way, we can be on the same page and have the risk reduced," said Rep. Brianna Titone, D-Arvada, who is co-sponsoring the bill.Another measure would create a state-run program to help offset losses in major disasters, such as the Marshall Fire."It's important that when we have a catastrophic loss, which may be hard to predict, that we have state mechanisms in place that can help reduce the costs for homeowners and the insurance company," said Rep. Kyle Brown, D-Louisville.Two years ago, Colorado passed the FAIR plan to provide insurance for people who can't get it, and that program is set to launch this year.Meanwhile, John Wright said he learned that several insurers had mistakenly placed his home miles away in the forest instead of in the city limits where he actually lives. Still, his premiums increased drastically.Like so many others, he hopes these proposed solutions at the State Capitol will help alleviate the insurance crisis in Colorado."I can't let this consume me," he said. "So I can consider it done for a year, and I'll see what happens."Denver7 has reported extensively on the insurance issues faced by Marshall Fire victims, including not receiving financial help quickly.After the fire, legislators passed a law requiring insurance companies to pay disaster victims at least 65% of what they lost within 30 days.RELATED: Colorado lawmakers want to help wildfire victims with insurance processPreviously, insurers only needed to pay 30% upfront.The law, signed in 2022, also streamlined the claims process after natural disasters such as wildfires.