FOX Business' Cheryl Casone joins 'Fox & Friends First' to discuss the insurance crisis in California as wildfires ravage Los Angeles and broader concerns about the industry moving forward.
Residents affected by California wildfires People may be inundated with calls offering to handle their claims, but it's important to work directly with the insurance company to start the claims process, rather than a third-party adjuster.
That's according to Insurance Information Institute spokeswoman Janet Ruiz.
Ruiz told Fox Business that public third-party adjusters are not allowed to file claims immediately under rules established by the California Department of Insurance. A resident's claim to pay for these individuals will also come out of the settlement, Ruiz said.
Once a person contracts with a public adjuster, they cannot work directly with them Insurance companies On the claim process.
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Most insurance companies have a mobile app where you can file a claim. However, affected residents can call their insurance companies directly or contact them online. Ruiz said some insurance companies will have mobile units in those areas and some will give them checks right away for additional living expenses. Ruiz said they've also seen agencies use debit cards instead of checking when mobile units are in an area with wildfires. FEMA also uses debit cards.
An Altadena resident walks away from his burning home after the Eaton fire on Jan. 8, 2025. (Jon Putman/Anadolu via Getty Images/Getty Images)
When a person contacts their insurance company, they should make sure they have a copy of their policy or understand what it covers. Residents should try to make a list to go through everything damaged with the adjuster.
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If the adjuster isn't helpful, Ruiz said residents should ask someone higher up in the company to help them. If they still need help, they can contact the California Department of Insurance.
Apartment fires from the Eaton Fire, which has currently claimed five lives and burned more than 2,000 structures, forced the evacuation of more than 100,000 residents from Altadena, California on January 8, 2025. (Jon Putman/Anadolu via Getty Images/Getty Images)
Ruiz said, whose houses have been completed destroyed by fire Priority will be given as they will usually inspect the claim immediately.
Smoke plumes from a brush fire are seen in Pacific Palisades, California on January 7, 2025. (David Swanson/AFP via Getty Images/Getty Images)
“Some inspectors will be able to use drones in the area to get an initial idea of the damage. This is very helpful for all the people who need help,” he said.
When it's safe to return to their homes, Ruiz said residents should try to keep damaged items until an insurance adjuster is able to inspect and evaluate the damaged item, if possible. It is also very important to take pictures and video of all damage as soon as possible.
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According to Ruiz, any auto loss can be insured under a comprehensive coverage auto policy.
While residents wait to return to their homes, their additional living expenses are covered by insurance to live elsewhere. It will also pay for food and temporary repairs, according to Ruiz.