Lara Imposes One Year Insurance Cancellation Freeze in Areas Ravaged by Wildfires in LA/Ventura County

LOS ANGELES — To speed the recovery from devastating wildfires, Insurance Commissioner Ricardo Lara today declared an emergency situation for Los Angeles and Ventura counties. This declaration requires strict oversight of out-of-state adjusters being used to help handle the large volume of claims resulting from the Palisades, Eaton and several other fires.

Under the Commissioner’s emergency declaration to insurance companies, qualified licensed adjusters, and qualified managers authorized to do business in California, all nonlicensed claims adjusters must be overseen by a California qualified licensed adjuster, qualified manager, or insurer and properly trained on the California Unfair Practices Act, Fair Claims Settlement Practices Regulations, and all laws relating to property and casualty insurance claims handling.

“Claims must be paid fairly, quickly, and completely to speed the recovery. My emergency declaration will help wildfire survivors so they are not being forced to wait for extended periods of time before receiving their benefits,” said Commissioner Lara. “I am doing everything in my power to streamline the recovery process during this unprecedented time, so that residents can begin putting their lives back together in the wake of these devastating wildfires.”  

Insurance companies may have their own adjuster and/or may contract with an independent insurance adjuster to assist consumers with their claims. The Department of Insurance urges consumers to begin the claims process by contacting their insurance company or agent and try to settle their claims before contacting a public adjuster or a lawyer. If consumers have questions or concerns about their claim, what their insurer is telling them, or settlement offers, the Department’s consumer services team is prepared to assist — there is no charge for that assistance.

Last week, Commissioner Lara also issued a Notice to public adjusters reminding them of the laws that are in place for how and when they may contact those affected by wildfires and warning them to comply in order to protect survivors. The California Department of Insurance is on alert for potential fraud and illegal actions targeting survivors. The Department has posted “Don’t Get Scammed After a Disaster” tips in English and Spanish urging consumers not to rush into decisions and to report any suspected illegal actions by unscrupulous contractors or public adjusters.

Commissioner Lara also announced free two-day insurance support workshops on January 18 and 19 in Santa Monica and January 25 and 26 in Pasadena to help survivors understand their insurance policies and the claims process, while also providing information about available resources for rebuilding and recovery. This workshop is open to all those impacted by the recent wildfires. Call 800-927-4357 to schedule a one-on-one appointment with a Department of Insurance expert.

The Department has resources for disaster survivors and strongly encourages consumers to check out these resources, including how to avoid scams after a disasteras there is often unscrupulous individuals who try and take advantage of disaster survivors who can be vulnerable during a challenging time. Consumers who have questions on their insurance or wish to file a complaint against a public adjuster can do so on the Department’s website or by calling 800-927-4357.

Photo : Ryan Vincent