INSURANCE AND FINANCING

Review the Denial. Understand the specific reasons provided by your insurer. File an Appeal. Gather supporting documentation and formally appeal the decision. Seek Legal Assistance. Consult with an attorney specializing in insurance claims for guidance. Contact Regulatory Authorities. The California Department of Insurance can assist with disputes and provide mediation services.

https://www.insurance.ca.gov/01-consumers/140-catastrophes/WildfireResources.cfm?ut

Mortgage Forbearance. Many lenders offer temporary suspension or reduction of payments for disaster victims. Contact Your Servicer. Reach out to your mortgage company to discuss available relief options. State Assistance. California's Department of Financial Protection and Innovation provides resources and has secured commitments from over 400 financial institutions to offer relief.

https://dfpi.ca.gov/lafires/?utm

Property Tax Reassessment. In Los Angeles County, if your property suffered damage exceeding $10,000, you might be eligible for a temporary property tax reduction. Federal Tax Relief. The IRS may offer extensions and deductions for casualty losses in federally declared disaster areas.

https://ttc.lacounty.gov/wildfires-and-other-emergencies-frequently-asked-questions/?utm

FEMA offers grants for temporary housing, home repairs, and other disaster-related expenses not covered by insurance. They also provide assistance for clean-up and sanitization efforts.

fema.gov

Yes, FEMA assistance can supplement what insurance doesn't cover. Submit your insurance claim first, as FEMA will request documentation showing your insurance coverage.

Notify your insurance agent as soon as possible, document all damages with photographs, and keep a detailed inventory of lost or damaged items. Avoid discarding damaged property until after an insurance adjuster has assessed it.

Yes, standard homeowners insurance policies typically cover fire damage, including wildfires. It's important to contact your insurance agent promptly to report the loss and understand your coverage details.

Penalty-Free Withdrawals: Under the Secure 2.0 law, individuals in federally declared disaster areas can withdraw up to $22,000 from retirement accounts without the usual 10% early withdrawal penalty. Financial advisors generally recommend against tapping into retirement savings due to potential long-term impacts.

https://www.marketwatch.com/story/you-can-now-use-your-401-k-to-rebuild-after-a-natural-disaster-but-should-you-28c181b4?utm

Extended Replacement Cost Coverage. Check if your policy includes this, as it can provide additional funds beyond your dwelling limit. Disaster Assistance. Apply for aid from FEMA and the U.S. Small Business Administration (SBA) for grants and low-interest loans. State and Local Programs. Explore assistance programs like the LA County Household Relief Grant, offering financial support to affected residents.

https://recovery.lacounty.gov/2025/02/14/la-county-launches-household-relief-grant-to-support-families-impacted-by-eaton-and-pacific-palisades-fires/?utm

Check Property Damage Status. Assess your home’s condition. File an Insurance Claim ASAP. Contact your insurer, document damages, and track all claim-related expenses. Apply for FEMA & SBA Assistance. Get disaster relief funds and low-interest loans. Seek Mortgage & Financial Relief. Contact lenders about forbearance and explore state and local grants. Utilize Tax Benefits. Apply for property tax reassessment and check for IRS disaster tax relief. Replace Lost Vital Records. Request property deeds, birth certificates, and other documents from LA County’s Registrar-Recorder’s Office. For assistance, contact FEMA, or the California Department of Insurance.