Flames and smoke from the Palisades Fire surround a house in the Topanga community of California on January 9, 2025 (C).
David Swanson | AFP | Getty Images
Firefighters are still working to control the blaze record breaking fire The storm has been raging in Southern California for more than a week.
Fires have devastated the greater Los Angeles area 40,000 acresdestroying more than 12,300 buildings, according to NBC News. About 88,000 Los Angeles residents are under evacuation orders, and another 89,000 are in evacuation warning areas, meaning they may need to leave immediately.
Insured losses from wildfires in early January could exceed $20 billion. according to Estimates released by JPMorgan last week. Wells Fargo also estimates insured losses to be worth about $20 billion, of which insured losses are about $60 billion economical loss.
Karl Susman, an insurance broker and president of Susman Insurance Services in Los Angeles, said that as many affected residents are trying to figure out what to do next, one of the first things to do is to initiate Insurance Process.
“File your claim as soon as possible,” he said. “You don’t have to have all the information.”
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He said because of the surge in applications, it may take insurers longer than usual to process claims, so the sooner you start, the better.
If your primary residence has been affected by a wildfire (whether you rent or own it), experts recommend taking these seven steps immediately.
1. File a claim first, then assess the losses
You don’t have to wait until firefighters completely extinguish the fire before you can file an insurance claim.
Even if you’ve evacuated and don’t know the condition of your home, you can still start the claims process, Sussman said.
Experts say factors such as the type and extent of damage, the complexity of the claim and the amount of insured losses can all affect an insurance company’s processing time.
Shannon Martin, a licensed insurance agent and analyst with Bankrate.com, said renters have access to most of the same resources as homeowners.
“In most cases, renters can follow the same process as homeowners,” she said. “You want to be on the safe side, file an insurance claim and then ask if you can get extra living expenses up front.”
2. Ask about “loss of use” coverage
Ask your provider “Loss of use” insurance said Jeremy Porter, director of climate impact research at the First Street Foundation, a New York-based foundation focused on climate risk financial modeling.
He said the insurance, which allows you to access temporary housing or accommodation while away from home, “is designed to give people a lifeline when they are unable to move back into their home.”
Porter said renters may have similar coverage — often referred to as “D coverage” in renters insurance policies.
3. Keep receipts and document everything
If you lose access to your coverage, be sure to keep every receipt for any clothing, food, and temporary housing or hotel accommodations you may need. Also track your activity and log all conversations you have with your insurance company, says Douglas Heller, insurance division director for the Consumer Federation of America.
“The better you can document what you were doing while going through this horrific time, the easier it will be to prove your claim for reimbursement,” he said.
4. Turn off your utilities
If a fire causes severe damage or a total loss of your home, contact your utility companies (such as electric, water, and trash collection companies) to temporarily shut down service. You may not have to pay for these services for the time being, Sussman said.
5. Contact your car insurance company
If you lose your vehicle in a fire, your auto insurance policy may cover the loss, Sussman said.
“Even if the car is parked in your driveway, it doesn’t fully belong to your home (insurance policy),” Sussman said.
Look for what’s called comprehensive coverage in car insurance, he says.
If you have comprehensive insurance on your car, you will usually be covered for wildfire damage, and “You only pay the deductible,” says Bankrate’s Martin.
6. Don’t forget property taxes
If your home sustained damage or a total loss, visit your county assessor’s website and enter your address.
Sussman, the insurance expert, says that if you suffer losses of more than $10,000, or if your home is a total loss, you can apply for a property tax reduction or exemption while the home is under construction or is uninhabitable.
“This is something that people often don’t know or ignore,” he said.
7. Explore local assistance opportunities
Sussman said if you didn’t previously have coverage or your coverage was canceled before a disaster struck, be aware of possible assistance for those affected by wildfires.
“For people who have zero insurance, there may be some type of assistance available,” Sussman said.
At a White House press conference, President Biden announced One payment of $770 Wildfire victims can receive assistance through the Federal Emergency Management Agency. Nearly 6,000 survivors have registered for assistance and $5.1 million has been distributed, according to the White House.
Affected people can apply for assistance through the following methods Disaster Assistance Network or the FEMA hotline at 1-800-621-3362.
California Insurance Commission Individuals can be assisted by calling 1-800-927-4357 navigation process and help uninsured victims.
Federal Emergency Management Agency Assistance is also being provided to people affected by the wildfires.
If you didn’t have an insurance plan before, the agency’s Individual and Family Plans Funding is available for temporary housing.
Affected individuals can apply online at Disaster Assistance Network Or call 1-800-621-3362.
looking for local support groups and seminar. The Insurance Commission of California will host its first workshop with government representatives and insurance companies on January 18-19 at Santa Monica College. Follow-up events are scheduled for January 25-26 at Pasadena College.
Some Charities and non-profit organizations Actively accepting donations and participating in revitalization efforts in Pacific Palisades and surrounding areas.
