Navigating Wildfire Insurance – Insights from Karl Susman

Published Date: 01/11/2025

Navigating Wildfire Insurance: What Every California Homeowner Needs to Know

As wildfires once again sweep across Southern California, tens of thousands of residents are facing mandatory evacuations, shuttered businesses, and an uncertain future.
Even Universal Studios Hollywood had to close due to dangerous fire conditions and extreme winds — a stark reminder of just how far-reaching these disasters have become.

In an interview with NewsNation, insurance expert Karl Susman, President of Susman Insurance Services, joined live from the evacuation zone of the Palisades Fire to share firsthand insights into what homeowners and business owners need to know about wildfire insurance, claims, and preparedness.

The discussion revealed critical lessons for anyone living in a wildfire-prone area — lessons that can mean the difference between a smooth recovery and financial devastation.

1. California’s New Normal: Fires Everywhere, All the Time

Susman painted a sobering picture of California’s current fire landscape:

“It’s unbelievable how many fires we actually have going on,” he said.
“We have the Palisades Fire, the Hearst Fire, the East Eaton Fire, the Woodley Fire — literally fires burning in almost every corner of Southern California.”

These simultaneous events, he noted, make wildfire coverage more relevant than ever.
In a state where more than one in four homes is in a high or extreme wildfire risk zone, understanding how your insurance works — and when it doesn’t — is essential.

2. The Good News: Fire Coverage Is Usually Built In

Despite the growing chaos, Susman reassured viewers that fire coverage is included in most homeowners policies.

“The primary peril — literally the main part of the homeowners policy — is fire coverage,” he explained.
“It would be very unusual to have a homeowners, condominium, or renters policy without it.”

That means if your home or apartment is damaged or destroyed by fire, your standard property insurance will typically cover it, subject to deductibles and limits.
However, there’s a catch: if you don’t already have fire insurance before the fire starts, it’s too late to add it.

3. Why You Can’t Change Coverage During an Active Wildfire

One of the most important takeaways Susman shared was about policy freezes during active disasters.

“When there’s an active event like this, insurance companies issue a bulletin that says you cannot make changes to your policy while there’s an active wildfire in progress.”

That means:

• You can’t increase your limits.
• You can’t add new coverage.
• You can’t buy a new homeowners policy in that area.

This moratorium protects insurers from taking on new, imminent risk — but it also means homeowners must prepare in advance, long before a fire appears on the horizon.

If you live in a fire-prone area and haven’t reviewed your coverage recently, now is the time to do so — not when smoke fills the air.

4. What To Do After a Wildfire: The Claims Process

Once the flames die down and residents are allowed to return, the next step is often filing an insurance claim.

Susman’s advice was simple: file early and don’t wait for confirmation of total loss.

“There’s no harm in filing a claim during these types of catastrophes,” he said.
“The insurance carriers are expecting them, and they’ll start queuing claims right away.”

Homeowners should file even if they’re unsure about the extent of the damage — for example, if the home appears intact but might have smoke or ash contamination.

“A lot of policies provide coverage for that as well,” Susman reminded.
“So it makes sense to get the claim started right away.”

5. Don’t Forget Your Car: Wildfire Auto Coverage

While homes get most of the attention during wildfire season, vehicles are also at high risk.
Cars parked on evacuation routes or in residential driveways can be destroyed not just by flames, but by emergency actions.

“In the Pacific Palisades, emergency vehicles had to literally bulldoze cars out of the way because the roads were blocked by people trying to evacuate,” Susman said.

If that happens, your protection depends on one specific part of your auto policy:
Comprehensive coverage — sometimes called “other than collision” — pays for damage caused by fire, theft, vandalism, falling objects, or weather events.

Without comprehensive coverage, wildfire losses to your car are not covered.
Homeowners should check their auto policy to ensure they’re protected, especially if they live in an evacuation-prone zone.

6. What Documents You’ll Need for a Claim

When disaster strikes, most families are focused on safety — not paperwork. But having documentation ready can make an enormous difference later.

Susman advised starting with the basics:

• Your policy number and carrier contact info
• Proof of identity and address
• Photos or video of your property before the fire
• An initial list of damaged or missing items

“If you brought your documents with you, great,” he said.
“If not, your agent or broker can email you a copy. They’re there to step up during these moments.”

For homeowners who evacuated without time to gather records, reaching out to an agent is the best first step.
Most can quickly provide digital copies of your policy and guide you through claim initiation.

7. How to Document Damage Before and After a Fire

Perhaps the most actionable advice of all came when Susman urged homeowners to take videos of their homes right now — before a loss occurs.

“Just walk around your house with your phone camera and record everything,” he said.
“We live there every day, and we don’t notice what’s in every corner. When you leave in a hurry, it’s hard to remember what you had.”

This simple habit can dramatically speed up the claims process.
Video documentation helps:

• Verify ownership of personal property
• Establish pre-loss condition
• Avoid disputes over itemized lists or memory lapses

If you’ve already evacuated, don’t panic — any older photos, appraisals, or purchase receipts can help reconstruct a record later.

8. The Broker’s Role: Your Advocate in a Crisis

Many homeowners make the mistake of treating insurance as a “set-it-and-forget-it” product.
But during a disaster, your insurance broker becomes your lifeline.

“This is what we’re here for,” Susman emphasized. “Call, text, email your broker. Let them help you make sure you have your information and get the process started.”

Independent brokers like Susman’s firm are often able to:

• Contact carriers directly on your behalf
• Expedite claims processing
• Explain policy exclusions and next steps
• Provide copies of your insurance documents

Having an established relationship with a trusted broker can make the difference between frustration and relief in a crisis.

9. Business Owners: Don’t Overlook Commercial Fire Risk

While the segment focused heavily on homeowners, Susman’s insights apply equally to businesses—especially in high-density areas like Los Angeles or Malibu.

Wildfires can destroy physical property, interrupt operations, or cause indirect losses due to evacuation orders.
Most commercial property policies include fire coverage, but owners should also verify:

• Business interruption insurance
• Extra expense coverage for temporary relocation
• Loss of income protection

Fires that force closures — like the temporary shutdown of Universal Studios Hollywood — can cost millions per day.
For small businesses, even a few weeks of downtime without insurance can be catastrophic.

10. The Larger Lesson: Preparation Over Panic

Susman’s calm, matter-of-fact tone during the interview stood out, given that he himself was evacuated at the time.
His experience underscores a vital truth: preparedness and knowledge create calm in chaos.

“You can’t control the wildfire,” he said, “but you can control how ready you are before it comes.”

His guidance boils down to three essentials:

1. Review your insurance annually — don’t assume old coverage still fits new risks.
2. Document everything — possessions, property, and policy information.
3. File early and communicate — your insurer can’t help if they don’t know your situation.

11. Building a Resilient Future

Wildfires are no longer “once-in-a-decade” events — they’re an annual reality.
California’s insurance system, though strained, still provides vital protection when homeowners understand how to use it.

The key is proactive engagement:

• Work with brokers who know local risks.
• Keep digital copies of documents accessible from anywhere.
• Update coverage limits to reflect rising rebuild costs and inflation.
• Add “loss of use” and “additional living expense” coverage so temporary displacement is fully reimbursed.

As Karl Susman put it, insurance isn’t just about replacing what’s lost — it’s about giving you the power to rebuild.

Conclusion: A Plan for Tomorrow, Starting Today

Wildfires don’t give advance notice. They can erupt in hours and spread for miles before containment even begins.
But understanding your insurance, knowing what steps to take, and preparing documentation in advance can transform a chaotic evacuation into a manageable recovery.

Susman’s closing message was clear:

“If you’re watching this from anywhere in California, now is the time to review your policy. Not when the fire trucks are down the street.”

In today’s unpredictable climate, protection is preparation — and preparation starts long before the flames arrive.