California wildfire victims are seeing a change in how insurance companies handle claims for personal belongings. More insurers are now offering contents coverage without requiring policyholders to provide a detailed list of their items. This shift follows a request from California Insurance Commissioner Ricardo Lara, who urged insurers to simplify the claims process for those affected by recent fires in the Los Angeles area.
The California Department of Insurance (CDI) reported that many homeowners insurance companies are stepping up to help. Most have agreed to pay at least 75% of the contents coverage limit without needing a full inventory. Some companies are even offering to cover 100% of the contents limit without the extra paperwork.
This move is part of a broader effort to assist wildfire survivors. The CDI has previously encouraged similar practices after the devastating wildfires in 2018 and 2019. The department is also asking insurers to inform their policyholders about the new coverage amounts, including any terms and exceptions.
In addition to these changes, Commissioner Lara is sponsoring a new bill called Senate Bill 495, also known as the Eliminate the List Act. This legislation aims to ensure that wildfire survivors receive 100% of their contents coverage without needing to submit detailed inventories. It also proposes giving consumers at least 180 days to prove their losses after a state of emergency is declared. The bill is currently awaiting a hearing in a legislative policy committee.
As California continues to face the threat of wildfires, these changes in insurance practices aim to provide much-needed relief and support to those impacted by these natural disasters.