
Unsplash
What to Do If You're a Victim of the Wildfire in Los Angeles
Wildfires in Los Angeles can leave property damage and devastation behind, and for those affected, understanding insurance claims is crucial for rebuilding. Knowing the steps to take with your insurance provider can help you recover more efficiently and ensure you're not left with financial burdens from the disaster.
Immediate Steps After the Wildfire
1. Ensure Your Safety and Document Damage
Before worrying about insurance claims, your safety and well-being are the top priority. Ensure that you and your family are safe, and evacuate if instructed by authorities. Once it's safe, take photos and videos of the damage to your property. This documentation will be vital for your insurance claim and any government assistance you seek.
2. Contact Your Insurance Provider
Once you are safe and able, contact your homeowner's or renter's insurance provider to report the damage. Even if you don't have insurance, options are still available to help with recovery.
Wildfire Claims Tips
Get a complete copy of your policy, including coverage details for repairs, personal belongings, and living expenses. Track your Additional Living Expense (ALE) limits, which typically cover 24 months and may be extended. Keep records of all displacement-related expenses and document communications with insurers in a claims diary. Get at least one contractor’s estimate for rebuilding to compare with your coverage. If needed, seek assistance from the Department of Insurance.
Consider rebuilding at a new location if your policy allows it, and carefully review costs to ensure sufficient coverage. Evaluate whether hiring a public adjuster or attorney is necessary before signing contracts.
Understanding Insurance Coverage and Compensation
Am I Entitled to Compensation Without Insurance?
If you do not have insurance, you are not eligible for compensation through an insurance claim. However, you may qualify for federal assistance, which can help with recovery. The Federal Emergency Management Agency (FEMA) offers aid for those affected by disasters, even if they are insured. If you lost your job as a result of the fire, you may also be eligible for unemployment benefits through the California Employment Development Department.
Applying for FEMA Assistance
FEMA offers financial aid and services to disaster survivors, including temporary housing, repair funds, and assistance for individuals with disabilities. Legal services may also be available. Even if you have insurance, FEMA can help cover essential needs that your policy may not include. If your homeowner’s claim has been pending for more than 30 days, FEMA may assist in expediting the process. Filing an insurance claim first is required, as FEMA needs insurance details during the application process.
Ways to Apply:
- Online via DisasterAssistance.gov.
- Through the FEMA mobile app.
- By calling the FEMA helpline at 1-800-621-3362 (4 AM to 10 PM PST), with support in multiple languages.
Requesting a Cash Advance from Your Insurer
If you've lost your home, ask your insurer for a cash advance. California law requires insurers to give you at least 30% of your dwelling insurance limit and provide up to four months of coverage for temporary living expenses. This is crucial as you begin the process of rebuilding. Make sure to request this advance in writing, as it will help cover the immediate costs of housing and basic living expenses while you wait for your full claim to be processed.

Unsplash
Filing an Insurance Claim
California law requires a mandatory one-year moratorium on insurance cancellations or non-renewals in fire-affected areas after a state of emergency declaration. This applies to all residential policyholders within designated ZIP codes. Those suffering total loss have additional protections.
To check eligibility, review the Department of Insurance’s bulletins for recent wildfires and contact insurers for policy reinstatement if applicable.
1. Start the Insurance Claim Process
If your home has been damaged or destroyed, begin the process of filing your insurance claim immediately. The sooner you file, the sooner you can receive compensation for your losses. Your insurer may assign an out-of-state adjuster unfamiliar with California’s specific wildfire laws, so it’s important to know your rights.
2. Special Protections Under California Law
California has specific rules designed to make it easier for wildfire victims to recover insurance funds. Your insurer must issue a cash advance for temporary living expenses within a specified time frame. Be sure to provide all necessary documentation and follow up with your insurer to ensure your claim is processed promptly.
3. Handling Partial Losses
If your home wasn’t destroyed but sustained significant smoke or heat damage, this is classified as a partial loss. Insurance claims for partial losses can be more complicated, especially when it comes to cleaning and repairing hidden damage. Be sure to ask your insurer for a list of reimbursable Additional Living Expenses (ALE) and make sure all damaged areas are inspected.
4. Mortgage and Insurance Proceeds
If you have a mortgage, your lender may be listed on the insurance check, and they may request part of the payout to cover the mortgage balance. However, they cannot force you to use your insurance proceeds to pay off the loan, but they will typically be involved in the claims process.
What If My Insurance Claim Takes Too Long?
FEMA Can Help
If your insurance claim is taking more than 30 days to process, FEMA assistance can step in to help bridge the gap. This assistance can provide the support you need while awaiting the outcome of your claim, helping you avoid financial strain during the recovery period.
Consider Using a Public Adjuster
If you find that your claim is being delayed or underpaid, a public adjuster may be able to help. Public adjusters are licensed professionals who can advocate for you during the claims process. However, make sure the adjuster is licensed by checking online with the California Department of Insurance.
California FAIR Plan: A Backup Option
What is the FAIR Plan?
If you can’t find insurance coverage through a traditional provider, the California FAIR Plan offers insurance options for homeowners in areas at high risk for wildfires. It provides a basic level of coverage for those unable to obtain insurance through other means. The FAIR Plan covers less than 3% of California residents, but it’s a crucial option if you're unable to find traditional coverage.
Updates to the FAIR Plan
In response to increasing wildfire risks, the FAIR Plan has increased coverage limits and offers discounts for homeowners who take steps to harden their properties against wildfires. You may also be able to get coverage for agricultural buildings and other structures.
Disaster and Calamity Property Tax Relief
Homeowners and landlords whose properties were damaged or destroyed by recent wildfires or windstorms might qualify for temporary property tax relief under the Assessor's Misfortune and Calamity program. If approved, they could temporarily pay reduced property taxes until repairs or reconstruction are completed.
To be eligible, the damage must exceed $10,000 in the property's current market value.
Form ADS-820 is required, and claims can be submitted online or in person at the Assessor's office.
Navigating Post-Wildfire Financial Support
Assistance from the Fannie Mae Disaster Response Network
If you are struggling financially due to the wildfire, Fannie Mae’s Disaster Response Network can help with mortgage-related issues. It offers resources and advice for navigating the financial impacts of a disaster, including housing counselors who can assist with insurance claims, FEMA applications, and other financial aid.
Temporary Sheltering Assistance
FEMA’s Transitional Sheltering Assistance may be activated to provide short-term housing in participating hotels for disaster survivors. To qualify for this assistance, you must apply to FEMA and receive approval. This can provide essential support if you're unable to return home immediately.
Additional Resources for Wildfire Survivors
Avoiding Fraud
After a disaster, scammers may target vulnerable survivors. Be cautious of unlicensed insurance adjusters or public adjusters who solicit your business within seven days of the disaster. Always check licenses with the California Department of Insurance.
Department of Insurance Support
For assistance with insurance claims, questions, or if you suspect fraud, contact the California Department of Insurance at 1-800-927-4357. They provide free workshops and one-on-one appointments to help wildfire survivors understand their rights and navigate the claims process.
Check FREE what you're allowed build on your property
Related Articles:
- Building Permit Application Process for Los Angeles Wildfire Victims Rebuilding Homes
- California Governor Takes Action to Accelerate Wildfire Recovery in Los Angeles
- How to Build a Home in a Wildfire Area
- Building Permit Application Process for Los Angeles Wildfire Victims Rebuilding Homes
- More articles ...
Resources