Mountain Fire
Credit: Ventura County Fire Department

Reminds wildfire evacuees could be eligible for expense reimbursements under their current insurance policy

November 9, 2024 - LOS ANGELES — Insurance Commissioner Ricardo Lara has announced an impending action to protect communities affected by the Mountain Fire in Ventura County following Governor Newsom’s emergency declaration. Under state law, once the fire’s perimeter is determined, Commissioner Lara will issue a Bulletin identifying areas in the immediate vicinity of the fires that will be protected for one-year from homeowners’ insurance non-renewal or cancellation due to wildfire risk. Thus far in 2024, approximately 1 million policies are protected for one year because of Commissioner Lara’s actions.

“Even if you don’t experience property damage, wildfires take a heavy emotional and financial toll,” said Insurance Commissioner Ricardo Lara, who is leading efforts to tackle California’s insurance crisis through his Sustainable Insurance Strategy. “As we continue to roll out long-term reforms over the next few months, it’s critical that people have the coverage they need in the aftermath of a wildfire. Insurance benefits can help survivors recover quickly and cover added expenses, like the cost of evacuations. Once the fires are contained, we’ll be on the ground, assisting those affected and enforcing California’s strong consumer protections to help them rebuild and recover.”

Commissioner Lara reminds residents in Ventura County who have been ordered to evacuate due to the wildfires that their homeowners’ or renters’ insurance may help with evacuation and relocation costs under Additional Living Expenses coverage, known as ALE. ALE coverage typically includes food and housing costs, furniture rental, relocation and storage, and extra transportation expenses, among other costs.

If you have any questions or need assistance, the California Department of Insurance is here to help. Please call: 1-800-927-4357 or visit www.insurance.ca.gov. 

Many homeowners are unaware that they may have coverage under their homeowners’ and renters’ insurance policies to help them with evacuation and recovery expenses.

In 2020, Commissioner Lara sponsored a new law — SB 872 authored by Senator Bill Dodd — that requires insurance companies pay at least two weeks of ALE benefits to evacuees and provide an advance payment for no less than four months of ALE without an itemized inventory form, among other consumer protections. This important consumer protection law removes barriers for disaster survivors to get critical insurance benefits and streamlines wildfire recovery processes for homeowners who suffer from a loss.

Here are some additional tips for consumers:

• Keep all receipts during your evacuation.
• Policy provisions, including deductibles, vary by company, and residents should check with their insurance company or agent as soon as possible to confirm coverage, limits, and any other limitations and documentation requirements. Most renter’s policies also typically include ALE coverage.
• Document the date, time, and names of any insurance company employees you speak to regarding your coverage.
• Consumers should make sure any insurance agent or public adjuster offering their services has a valid license by checking online with the Department of Insurance.
• Download the Department’s Top 10 Tips for Wildfire Claimants (also available in Spanish, Mandarin, and Vietnamese), which includes information about claiming ALE benefits.
• Under existing law, public adjusters cannot solicit business for seven calendar days after a disaster.
• Don’t forget copies of insurance policies, important papers, and a photo or video inventory of your possessions. An inventory can be completed quickly and easily on your smart phone and safely stored in the Cloud.
  
   Notes: 

• Additional resources and information for consumers on wildfires are available from the Department of Insurance. Download a free home inventory guide from the Department website, or receive a hardcopy by calling the Department of Insurance Consumer Hotline at 800-927-4357.
• If you have any questions or need assistance, the Department of Insurance is here to help. Please call: 1-800-927-4357 or visit www.insurance.ca.gov.
• For the latest updates and information on the Mountain Fire, please visit: Mountain Fire | CAL FIRE
• Additional contact information:
  • California Governor’s Office of Emergency Services (Cal OES): (916) 657-9494 or www.caloes.ca.gov
  • California Department of Forestry and Fire Protection (CAL FIRE): www.fire.ca.gov
  • Federal Emergency Management Agency: 1-800-621-FEMA (3362) or www.fema.gov
  • Contractors State License Board: 1-800-321-CSLB (2752) or www.cslb.ca.gov
  • National Insurance Crime Bureau 1-888-815-9064 or www.nicb.org
    Source: CA. Dept. of Ins.