How to File a Palisades Fire Insurance Claim: Step-by-Step Guide

Filing Your Palisades Fire Insurance Claim

The Palisades Fire that ignited on January 7, 2025, destroyed over 6,800 structures and became the most destructive fire in Los Angeles history. If you lost your home or suffered damage, filing your insurance claim correctly is critical to receiving fair compensation.

This guide walks you through the entire process, from initial notification to final settlement.

Step 1: Notify Your Insurance Company Immediately

Contact your insurance company as soon as possible to report your loss. California law requires prompt notification, but after a declared disaster, insurers must provide additional accommodations.

What to have ready:

• Your policy number
• Date of loss (January 7, 2025, or when fire reached your property)
• Property address
• Brief description of damage (total loss, partial damage, smoke damage)
• Your current contact information

Important: When speaking with your insurer, stick to basic facts. Do not provide recorded statements, accept blame, or agree to settlements without understanding your full coverage.

Step 2: Document Everything

Documentation is the foundation of a successful fire claim. The more evidence you have, the stronger your claim.

If you can access your property:

• Take extensive photos and videos of all damage
• Photograph every room, every angle
• Document smoke damage, structural damage, and water damage from firefighting
• Save damaged items - do not throw anything away until your claim is settled

If your home was a total loss:

• Gather any photos of your home before the fire (from phones, social media, real estate listings)
• Collect receipts, credit card statements, and bank records showing purchases
• Create a room-by-room inventory of everything you owned
• Include furniture, appliances, clothing, electronics, jewelry, artwork, and collectibles

Step 3: Understand Your Coverage

Most Pacific Palisades homeowners had comprehensive policies, but coverage varies. Key coverage types include:

Dwelling Coverage (Coverage A)

Covers the cost to rebuild your home. In Pacific Palisades, where home values often exceed $3-5 million, ensure your dwelling coverage reflects actual reconstruction costs - not market value or purchase price.

Personal Property Coverage (Coverage C)

Covers your belongings. Most policies provide 50-70% of dwelling coverage for contents. High-value items (jewelry, art, collectibles) may have sub-limits unless specifically scheduled.

Additional Living Expenses (Coverage D)

Covers temporary housing, meals, and increased living costs while your home is uninhabitable. In LA's expensive rental market, this coverage is critical. Keep all receipts.

Code Upgrade Coverage (Ordinance or Law)

Covers the cost to rebuild to current building codes, which may be stricter than when your home was built. This can add $100,000+ to reconstruction costs.

Extended Replacement Cost

Many policies include 125-150% of dwelling coverage if reconstruction costs exceed your policy limits - essential given current construction costs.

Step 4: Create a Complete Contents Inventory

This is often the most time-consuming but crucial step. For each item, document:

• Item description and brand
• Age and condition
• Original purchase price (if known)
• Current replacement cost
• Any photos or receipts

Go room by room, including:

• Living areas: furniture, electronics, decor
• Kitchen: appliances, cookware, dishes, food
• Bedrooms: beds, dressers, clothing, jewelry
• Bathrooms: toiletries, towels, medications
• Garage: tools, equipment, vehicles, storage
• Outdoor: patio furniture, grills, landscaping

Step 5: Track Additional Living Expenses

Your ALE coverage pays for the difference between your normal living costs and your increased costs while displaced. Track:

• Hotel and rental costs
• Restaurant meals (above your normal food budget)
• Storage unit fees
• Pet boarding
• Laundry services
• Transportation costs

In Pacific Palisades, comparable rentals often exceed $10,000-15,000/month. Ensure your ALE coverage is adequate.

Step 6: Get Independent Estimates

Do not rely solely on your insurance company's estimate. Get independent estimates for:

• Reconstruction costs from licensed contractors
• Contents replacement from retailers
• Code upgrade requirements from architects/engineers

Pacific Palisades reconstruction costs currently range from $600-$1,000+ per square foot depending on finishes and site conditions (many properties require significant grading and access work).

Step 7: Review the Insurance Company's Offer Carefully

When your insurance company provides an estimate or settlement offer:

• Compare it to your independent estimates
• Check that all damaged areas are included
• Verify they're using local contractor rates, not national averages
• Ensure code upgrades are included
• Confirm contents are valued at replacement cost, not depreciated value

Red flag: Initial offers are often 40-60% below actual replacement costs. Do not accept the first offer without careful review.

Step 8: Consider Hiring a Public Adjuster

A licensed public adjuster works exclusively for you - not the insurance company. We can help if:

• Your claim is complex or high-value
• You suffered a total loss
• The insurance company's offer seems low
• You're overwhelmed by the claims process
• You have a FAIR Plan policy with coverage limitations

Public adjusters work on contingency - no upfront fees, and we only get paid when you receive your settlement.

Important Deadlines

• Claim filing: Notify your insurer as soon as possible
• Proof of loss: Typically required within 60 days of request
• Statute of limitations: Generally 2 years for property claims in California, but don't wait

Get Help With Your Palisades Fire Claim

The Palisades Fire displaced thousands of families. Don't navigate this alone. Our licensed public adjusters have helped fire victims recover millions in settlements.

Call (714) 844-1363 for a free consultation.