Insurance claim tips for homeowners affected by Southern California wildfires

Multiple wildfires have been sweeping across Los Angeles County since Tuesday, killing at least two and pushing thousands out of their homes.  

The total damage is not yet known; the fires were 0% contained as of Wednesday. For the owners of the 1,000-plus structures destroyed by the fires, buyer advocates declare there are ways to assist get their insurance claims treated fairly and paid in packed.

“comprehend the reality of a large-dollar insurance claim, that it really does require you to advocate for yourself,” said Amy Bach, executive director of United Policyholders, a buyer advocacy throng. “The final profit is that people require to ponder of an insurance claim as a business swap and way it with that benevolent of mindset.”  

Insurance tips for affected homeowners 

The first step for affected homeowners is to focus on personal safety, as well as the safety of household and any pets, according to Michael DeLong, a research and advocacy associate at the buyer Federation of America, a buyer advocacy throng. 

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After that, homeowners should contact their insurer as soon as feasible. When it’s secure to profitability home, receive photos and videos and commence a journal to document the damage. 

Policyholders should also document every interaction with their insurance corporation and track their outgoings. DeLong suggests keeping receipts for temporary housing, food costs and any initial repairs.

If a homeowner does decide to receive on immediate repairs, they should vet any adjustors or contractors before hiring and make sure they are licensed.

“Unfortunately, post-disaster scams are pretty ordinary,” DeLong said.   

If a homeowner believes their insurance corporation is mishandling their claim, DeLong said they should contact the California Department of Insurance. The agency’s website has a form where homeowners can file complaints.  

Looking forward, DeLong suggests homeowners receive measures to mitigate upcoming wildfire risks. Steps like installing a roof with noncombustible coverings or clearing away flammable vegetation near a home can limit the damage.

“That may expense money in the short run, but it will save you money in the long run. In truth, it could actually save your home and even your life,” DeLong said. “The issue is that doing all these measures takes period and money and attempt. And for people living paycheck to paycheck, that’s really challenging to do.”

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How many homes are covered by insurance?

Homeowners insurance policies tend to cover damage caused by wildfires, according to the Insurance Information Institute.

Bach said a typical insurance policy covers temporary housing, repairs and rebuilding, damage from smoke, personal property repairs and replacement, and any damage to surrounding landscaping. Damaged vehicles should be covered by car insurance.

Mortgage lenders typically require homeowners insurance, and most American homeowners are insured. But as insurance rates skyrocket and more insurance companies pull out of states like California, a growing number of homeowners who own their home outright are dropping their coverage. 

Others who battle to discover insurance in the private trade have had to buy basic insurance coverage through the state’s insurer of last resort, the California FAIR schedule, which has higher premiums and limited coverage. There were more than 450,000 FAIR schedule policies in the state in late 2024, more than double the count from 2020.   

“California’s home insurance trade was already struggling, it was already getting much harder for people to keep and afford insurance on their homes. And this is going to make that circumstance worse,” Bach said.    

Bach warned that other homeowners affected by the fires may discover themselves underinsured, or paying for a policy that doesn’t cover the packed expense to rebuild or repair.  

“It’s so ordinary that people who misplace their home in a wildfire discover out that they didn’t have enough coverage,” Bach said. “Any period there’s a fire, it’s a excellent reminder to look at how much per square foot you would have to pay a contractor to rebuild your house if it were to burn to the ground.”