Fox News contributor Mary Kathryn Hamm and Zuma Global president Heather Zumarraga discuss California's lack of resources to fight the heartbreaking wildfires on “Earnings.”
Experts say it is very difficult to determine the timeline of when the victims of this attack California fires They will receive their insurance payments, given that it can take anywhere from a few weeks to a few years.
Candise Shanbron, managing partner at property damage law firm Cernitz Law, told FOX Business that no one knows how long it will take for residents affected by the wildfires, which ripped through Los Angeles this week, to receive insurance payouts. do
Brian Braswell, senior vice president at independent insurance broker The Daniel and Henry Co., said timing depends in part on the insurance company, available coverage and policy terms, as well as the size of the claim.
“Companies are flooded with claims. Imagine you had 100 claims a month and now you have a million claims,” Braswell said.
Firefighters continue to battle wind and fire as homes in Malibu burn along Pacific Coast Highway near Carbon Canyon Road in the Palisade Fire on January 8, 2025. (David Crane/News Media Group/Los Angeles Daily News via Getty Images/Getty Images)
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Aside from the sheer volume of claims handled, especially during a catastrophic event, Braswell said the complexity of the claim can also affect the speed of payment.
He added: The efficiency of the insurance company's damage handling system will also be a factor.
A firefighter battles the Palisades Fire as it burns homes along Pacific Coast Highway amid a strong windstorm on January 8, 2025 in Los Angeles, California. (Apu Gomes/Getty Images/Getty Images)
Braswell estimated it could take weeks or years. However, Braswell added, “Adjusters have an incentive to pay/close claims to get them off their desk and onto the next one.
Shanbron said the process looks different for everyone, even if they're dealing with a similar injury.
For example, Shanbron said, insurance companies “are constantly analyzing financial data and calculating how much money they need in reserves at any given time to reinvest those funds and pay claims.”
That's why some homeowners get paid right away, while others with the same type of loss may not be paid for six months or even years, according to Shanbron.
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In some cases, they “may deny the allegation outright, hoping that nothing ever comes of it, or deny the allegation knowing that they will eventually be sued, but at least deny and expect For the lawsuit, Shenbron said that receiving the case would buy them more time.
Plumes of smoke are seen on January 7, 2025 as the Pacific Fire burns in Palisades, California. (David Swanson/AFP via Getty Images/Getty Images)
But given the nature of the fire damage and the demographics of the area affected by the fire, Shanbron doesn't believe most insurance companies are “dragging their feet.”
Still, Braswell said victims shouldn't wait to look at their policy or ask questions and get a check because “California's insurance market is in trouble right now and it's about to get worse.”
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Anthony Lopez, CEO of Your Insurance Attorney, told FOX Business that while the timeline may be affected by several challenges, there are proactive steps victims can take to “potentially offset the delay.” Lopez said they include contacting your insurance provider immediately after the damage occurs, providing detailed documentation of the home or business over time, stamped before and after photos, and an estimate from a general contractor on the cost of repair or replacement. specifies