LA County Wildfire Claims Exceed $4 Billion in Payouts

LOS ANGELES, Calif. — Insurance payouts for wildfires that ravaged parts of Los Angeles County have surpassed $4 billion, according to a new state tracker unveiled Thursday by California Insurance Commissioner Ricardo Lara. The funds, largely allocated for replacing personal items and covering living expenses, stem from claims related to the Eaton and Palisades Fires.

The tracker, which will be updated regularly, shows that as of Jan. 27, 31,210 claims have been filed, with nearly half partially paid. The bulk of unpaid claims involve property damage and debris removal, which are expected to grow as rebuilding efforts progress.

“With so much misinformation and speculation about our insurance market after the Southern California wildfires, it is critical for the public to track claims and monitor payouts. All eyes are on the insurance companies, and so are mine,” Lara said in a news release.

State laws enacted after previous wildfires mandate that insurance companies provide advance payments to expedite recovery. These include funds equivalent to 30% of a policy’s dwelling limit, up to $250,000, without requiring itemized claims, and at least four months of living expenses. Lara emphasized that these upfront payments are essential for helping survivors rebuild their lives.

Michael Soller, a spokesperson for the insurance commissioner, noted that the data was collected directly from insurers, including California’s FAIR Plan, the state’s insurer of last resort. “This is the first real number of what’s been paid out to date to consumers,” Soller said.

CoreLogic, a property data and analytics firm, estimates that the Palisades and Eaton fires will result in billions more in insurance payouts to homeowners and businesses. The Department of Insurance has also hosted workshops in impacted areas to assist residents with filing claims and navigating the recovery process.

Residents seeking assistance can call the Department of Insurance at 1-800-927-4357 or use the Consumer Hotline Chat feature on their website.