(REMOVED) 80,000 have evacuated in California amid wildfires.
Published Date: 01/08/2025
When Wildfire Strikes: How Californians Can Protect Homes, Cars, and Claims During an Evacuation
As Santa Ana winds roared across Southern California, fueling blazes from the Palisades to the San Fernando Valley, more than 80,000 residents were forced to evacuate. Flames closed freeways, scorched neighborhoods, and even shut down Universal Studios Hollywood.
For thousands of Californians, this wasn’t just another fire season — it was a reminder of how vulnerable the state has become to climate-driven catastrophes.
Insurance expert Karl Susman, speaking live from evacuation zones during Insurance Hour, described what he saw as “unprecedented.” Multiple active fires were burning simultaneously — the Palisades Fire (3,000 acres), the Hearst Fire (500 acres), and the East Eaton and Woodley Fires, all stretching emergency resources to their limits. “People are being evacuated left and right,” he said, capturing both the urgency and human toll of the disaster.
But even amid chaos, Susman’s message was clear: understanding how your insurance works before disaster strikes can make the difference between fast recovery and long-term hardship.
1. Fire Is Covered — But Timing Matters
One of the biggest misconceptions Susman addressed is the idea that homeowners must “add” fire coverage. In truth, fire is the core peril of nearly every homeowners, condo, and renters policy in the country.
“It would be very unusual,” he explained, “to have any standard property policy without fire coverage as part of it.”
However, the critical detail lies in timing. Once a wildfire begins, insurance companies immediately issue what’s known as a “moratorium.” During this period — which can last days or weeks — insurers freeze all new business and coverage changes in affected ZIP codes.
That means you cannot add or modify coverage while a fire is active nearby. No increasing limits, no switching carriers, no purchasing new policies.
“If you don’t have sufficient coverage right now,” Susman cautioned, “it’s probably too late to make changes while the fire’s in progress.”
The takeaway is simple but vital: review your coverage before wildfire season. Waiting until smoke is visible means waiting too long.
2. Filing a Claim After the Fire: Act Fast, Even If You’re Unsure
When a loss occurs — whether confirmed or suspected — Susman advises homeowners to file a claim immediately. Catastrophes trigger a flood of claims, and carriers use a first-in, first-out queue system.
“The sooner you file, the better,” he said. “Even if you’re not sure yet, there might be significant smoke damage — and most policies cover that.”
Homeowners should reach out to:
- Their insurance agent or broker, who can guide the process, or
- The carrier’s claims hotline, if they purchased directly.
In large-scale disasters, insurers often dispatch catastrophe response teams equipped with mobile offices and adjusters. Filing early ensures you’re on their radar when they arrive.
3. Smoke Damage Counts as a Covered Loss
Many residents assume coverage applies only if the house burns — but smoke and ash can cause severe, long-term damage to interiors, electronics, and HVAC systems.
Susman emphasized that smoke contamination qualifies as a covered peril under standard fire coverage. Homeowners should document:
- Visible soot or residue
- Odors that persist after cleaning
- Damage to drapes, carpets, or painted surfaces
- Malfunctions in HVAC units or air purifiers
Professional remediation is often required — and fully covered when deemed necessary by the adjuster.
“Don’t wait to report smoke damage,” Susman urged. “It’s easier to address early, and insurers expect those claims after a wildfire.”
4. What to Do If You’re Evacuated Without Documents
When disaster strikes, paperwork is often the last thing on your mind. If you evacuated without your insurance policy or contact details, you’re not helpless.
“If you were lucky enough to grab your documents, great,” Susman said. “But if not, that’s what agents and brokers are for — to step up when you can’t access what you need.”
Homeowners can provide as little as:
- Name and address
- Insurance company (if remembered)
- Basic description of what happened
From there, the agent or carrier can locate your policy and begin the claims process. The goal is to get you a claim number — your ticket into the response queue.
5. Auto Insurance During Wildfires: Comprehensive Coverage Is Key
When wildfires destroy or damage vehicles, it’s the auto insurance policy, not the homeowners policy, that applies.
“Even if your car burns in a wildfire, it’s covered under your auto policy,” Susman explained. “You’re looking for comprehensive coverage — that’s what applies here.”
Comprehensive coverage protects against non-collision losses such as:
- Fire and smoke damage
- Falling debris or trees
- Vandalism or theft during an evacuation
- Damage from emergency vehicle movement
During the Palisades Fire, for example, emergency responders reportedly had to bulldoze abandoned vehicles blocking evacuation routes. Those losses, too, are covered — as long as comprehensive coverage was active at the time.
6. The Role of Brokers and Agents During Disasters
In moments of chaos, the insurance industry’s frontline isn’t just the carriers — it’s the independent agents and brokers who act as translators, advocates, and problem-solvers.
“This is what we’re here for,” said Susman. “To step up when our clients need us most.”
Agents can:
- Confirm policy details remotely
- Submit claims on behalf of clients
- Help arrange temporary housing through “loss of use” coverage
- Coordinate with adjusters and restoration teams
For homeowners displaced by fire or mandatory evacuation, loss of use benefits can cover hotel stays, meals, and additional living expenses — up to policy limits. Many carriers also extend coverage automatically during declared disasters.
7. Don’t Wait for a Total Loss — Partial Damage Still Qualifies
It’s a common misconception that you must lose your entire home to make a valid claim. In reality, partial damage is just as insurable.
Wildfires often destroy landscaping, fences, or detached structures long before the main dwelling catches fire. Even these smaller losses — such as a melted shed, scorched patio furniture, or destroyed solar panels — may qualify for compensation.
Additionally, landscaping coverage under homeowners policies can reimburse limited amounts for trees, shrubs, or plants lost to fire, provided the damage wasn’t caused by neglect.
8. The Financial Domino Effect: Why Wildfires Hit Everyone
Even homeowners far from the flames will feel the economic aftershocks. As Susman and other analysts note, catastrophic losses drive reinsurance costs, which ultimately raise premiums statewide.
In recent years, major carriers have withdrawn or paused new business in fire-prone ZIP codes, citing unmanageable risk. That leaves the California FAIR Plan — the state’s insurer of last resort — carrying record exposure.
Rebuilding after each fire season isn’t just a humanitarian crisis; it’s a financial cycle that reshapes how every Californian pays for coverage. As Susman put it, “Even if you’re not evacuated, you’re affected.”
9. Post-Fire Recovery: What Comes Next
After the flames are contained and evacuation orders lift, homeowners face a long and emotionally draining recovery. The first steps should be:
- Contact your insurer immediately to confirm claim status.
- Document all damage with photos and written notes before cleanup.
- Keep receipts for temporary housing, meals, and essentials — these are often reimbursable.
- Don’t discard damaged items until an adjuster has inspected them.
If your claim stalls, you have the right to request:
- Written explanations of any delays
- A copy of your Declarations Page
- Escalation to a claims supervisor or the Department of Insurance if needed
10. Lessons for the Future: Prepare Now, Not Later
Every wildfire season reinforces the same truth — recovery begins long before disaster does. Susman encourages homeowners to make preparedness part of their annual routine:
✅ Review coverage limits annually — especially for dwelling and personal property.
✅ Document your belongings with photos or video for easier claims.
✅ Check your deductible levels — make sure they align with your budget.
✅ Create defensible space and clear vegetation to reduce fire exposure.
✅ Store digital copies of key documents in the cloud or with your agent.
And above all, understand your rights as a policyholder.
“Insurance isn’t just paperwork,” Susman concluded. “It’s a promise — but that promise only works if you know how to use it.”
Final Thoughts: Rebuilding Resilience in a Fire-Prone State
California’s wildfire crisis is reshaping not only the landscape but the insurance system itself. With thousands evacuated and hundreds of homes at risk, the gap between preparation and devastation can be just one unchecked box on a policy.
For those who have already faced evacuation, the most important step now is to file promptly and stay engaged. For everyone else, the lesson is urgent but clear: don’t wait until smoke fills the sky to ask what your insurance actually covers.
Because in a state where fire is both a natural force and a yearly certainty, understanding your policy is just as essential as an emergency kit.
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