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All of us in Southern California have been impacted to some extent by the recent widespread fires, some of us more than others. It is estimated that 1,500 or more homes have been destroyed by the fires and insurance claims will exceed $1 billion. While we all hope that the insurance companies will properly evaluate and settle these claims, the reality is there will be those that need representation to negotiate their claims and ensure they receive adequate and fair policy benefits from their insurance carrier.

While the insurance companies are certainly concerned about the financial impact of these fires, it is important to know that the property insurance industry reported more than $450 billion in sales of policies last year and a record profit of nearly of $65 billion. They are thus very capable of satisfying all of the claims. Additionally and while there will certainly be fewer coverage questions than there were in a disaster such as Hurricane Katrina, which saw many insurance claims denied because of flood exclusions, there will likely be issues over the amount of insurance purchased and whether people were advised by their agent's insurance company how much insurance would be adequate to rebuild their home and replace their personal belongings. The bottom line is that it’s important for those who have lost their homes or sustained property damage of any kind to understand their insurance policies and take those steps necessary to ensure they are fairly compensated.

While it certainly may make sense for some who have been impacted to consult with a lawyer, below are a few some general tips to be followed if you have sustained property damage:

• Promptly contact your insurance company and save all receipts for expenses incurred as a result of being displaced from your home. This would include lodging, meals, etc.
• Review your policy in detail to ascertain what type of coverages you purchased, whether there is a deductible and what you must do to comply with the policy’s terms. Insurance companies are known to scrutinize whether their insureds have complied with the terms of the policy, so it is important that you understand the policy’s contents and what you must do to pursue your claim.
• Of vital importance is to create an inventory of your home and its contents. If you have photos or any other documentation reflective of the features of your home, as well as its contents, it will greatly assist in resolving your claim.
• Contact your mortgage company as mortgage relief is often available when one’s home has been destroyed by an insurable loss. Also discuss your mortgage and any other ongoing expenses associated with your property with your insurance company. This will allow your insurer to understand what ongoing financial issues will need to be addressed.
• Make temporary repairs to your property and save receipts on what is spent. While it is not advantageous to go overboard in this regard without first consulting with your insurer, temporary repairs of your premises to protect it from further damage, etc. are most likely covered by your policy.
• Finally, be very cautious of those offering to provide assistance for a fee. Unfortunately, disasters such as this one bring out the worst in people, just as they bring out the best. There will undoubtedly be predators in the form of contractors, public/professional adjusters and others looking to take advantage of this situation and profit from your misfortune. It is thus vitally important to ascertain with whom you are dealing and, if at all possible, ensure that they are well established in the community. There will be scam artists from all over the country and a little homework regarding those with whom you secure assistance will go a long way to ensure you are not the victim of a scam.

Depending on your situation, including the adequacy of your insurance coverage, the position taken by your insurer and a myriad of other factors, it may make sense for you to consult with an attorney. At Harrison Patterson & O’Connor, we have extensive experience dealing with the insurance industry from working for them to pursuing claims against them. In fact, Harry Harrison is a former State Farm Claims Adjuster, who spent significant time handling property insurance claims, including many large loss fire claims. Mr. Harrison also spent time on State Farm’s natural disaster team, traveling to natural disaster sites and handling claims on behalf of impacted residents. Harrison Patterson & O’Connor LLP is thus able to bring their combined experience and common sense approach to assist in negotiating claims and to seek redress through the courts if necessary. To the extent you believe you are being treated unfairly or simply need guidance in the pursuit of your claim, feel free to contact us for a free consultation.