Two weeks ago, wildfires erupted in Los Angeles and have caused extensive damage, leaving more than 12,000 structures damaged. As a result, insurance companies are expected to see a sharp rise in claims. In response, Weiss Ratings has released a report revealing alarming statistics about claim denials across several major home insurance providers.
The Los Angeles Times article breaks down the Weiss Ratings survey results, “affiliates of Los Angeles-based Farmers Insurance topped the list, denying about 50% of claims for payments. Following close behind were two USAA affiliates, which declined 48% of payments claims; and Allstate Insurance with 46%.”
The founder of Weiss Ratings, Martin Weiss, attributes this increase in denials to the growing financial pressures insurers are facing due to climate change-related events, such as hurricanes, floods, and wildfires. He continues on to explain that in an effort to protect profit margins, many companies are tightening their policies and denying a larger proportion of claims.
This trend raises important questions about the sustainability of the insurance model in an era of increasingly severe weather patterns. Wildfires, particularly in the Pacific Northwest, are becoming more common. As a result, homeowners and businesses may struggle to secure compensation for losses while insurers tighten their belts.
At GLP Attorneys, our hearts go out to everyone affected by the LA wildfires. We stand in solidarity with the communities impacted by this tragedy and who are struggling to receive justice on their insurance claims.
Contact an Experienced Fire Personal Injury Attorney Today
Wildfires can be life-altering for firefighters containing the burn and families who reside in the evacuation zones. GLP Attorneys has extensive experience handling personal injury cases, including fire-related deaths and injuries. We are here to support you as you mentally, physically, and financially recover from an accident.
Our Fire Injuries practice is led by Janelle Carney Boston, Managing Shareholder of the Boise, Coeur d’Alene, Spokane, Spokane Valley, and Tri-Cities offices of GLP Attorneys. If you have been involved in a fire-related accident, please contact our attorneys for a free consultation at 800.273.5005.