July 30, 2024 - SACRAMENTO, Calif. — Insurance Commissioner Ricardo Lara reminds residents in Butte, Tehama, and Shasta counties who have been ordered to evacuate due to the Park Fire 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. The Park Fire is now the sixth largest in California history.

Commissioner Lara also announced an impending action to protect insurance for residents living within the perimeter of the Park Fire and surrounding areas, following Governor Newsom’s emergency declaration on July 26. Under state law, once the fire’s perimeter is determined by the California Department of Forestry and Fire Protection (CAL FIRE) in consultation with the Governor's Office of Emergency Services, Commissioner Lara will issue a Bulletin identifying ZIP codes that will be subject to a one-year protection from homeowners’ insurance non-renewal or cancellation due to wildfire risk. Commissioner Lara has protected insurance for more than 4 million Californians since 2019.

“Wildfires are devastating both financially and emotionally, even if you don’t suffer property damage,” said Insurance Commissioner Ricardo Lara. “Insurance benefits can help people recover quickly and cover some of the additional costs if you have to evacuate from your home. Once this fire is brought under control, we will be on the ground assisting survivors in person, enforcing California’s strong consumer protection laws as people recover.”

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), which includes information about claiming ALE benefits.
• Public adjusters cannot solicit business for seven calendar days after the 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 California Department of Insurance. Download a free home inventory guide from the department website, or receive a hardcopy by calling the California Department of Insurance Consumer Hotline at 800-927-4357.
• 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. 
• For the latest updates and information on the Park Fire please visit: https://www.fire.ca.gov/incidents/2024/7/24/park-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.