Affected by California Fires?
Helpful Resources for Pacific Palisades & Malibu Residents
Wildfires can be devastating. ARCA Builders is here to support those affected in the Pacific Palisades Fire, Hurst Fire, Sunset Fire, and other wildfires around Southern California.
What to Do Immediately After a House Fire
Recovering from a fire in your home or business requires decisive action. Take the right steps to protect your interests, maximize your insurance claim, and rebuild efficiently.
01
Ensure Your Safety First
Wait for official clearance
Do not enter your property until the fire department or local authorities confirm it is safe. Fire-damaged homes may have weakened structures, hazardous materials, and hidden risks like electrical or gas issues.
Address immediate hazards
Be cautious of live electrical lines, gas leaks, and unstable structures. Contact your utility companies to verify that gas, electricity, and water services are safe to use. Never attempt to reconnect utilities yourself.
Secure essential items
If safe to enter, retrieve critical items like IDs, insurance documents, and financial records. These will be important for accessing relief. For damaged currency or savings bonds, file a claim with the U.S. Treasury Department for replacement.
02
Document Everything
Create a detailed inventory
List damaged items, including descriptions, purchase dates, and estimated values. Use old receipts or bank records to substantiate high-value claims.
Take photos and videos of damages
Capture clear images of structural damage, personal belongings, and the overall state of your property from multiple angles. Do not discard anything until your insurance adjuster has inspected the property.
Request a fire incident report
Contact the fire department to generate a fire incident report detailing the event, which can be crucial for your insurance claim and future legal or financial matters.
03
Promptly Notify Your Insurance Company
Contact your insurer immediately
Inform your insurance provider of the loss as soon as possible. Timely reporting can expedite the claims process and prioritize your case for assessment.
Understand claim timelines
In California, insurers must send a “notice of intentions” within 30 days of receiving your claim and process undisputed payments within that time.
Maintain detailed records
Keep meticulous notes of all insurer communications, including dates, times, and summaries of discussions. Organize relevant documents - such as estimates, invoices, bills, permits, and repair contracts - in both physical and digital formats.
04
Mitigate Further Damages
Insurance policies typically require homeowners to prevent additional harm to their property for claims to be valid.
Protect exposed areas
Cover holes in roofs, walls, or broken windows to prevent water damage or additional exposure to the elements. Secure all accessible entry points with tarps, boards, or temporary fencing to deter vandalism or theft.
Prevent secondary hazards
Ensure the fire is completely extinguished. Call the fire department if you notice flare-ups or smoldering debris. If water damage is present, address it immediately to avoid mold growth. Turn off utilities like water, gas, and electricity if they pose ongoing risks.
Be vigilant with documentation
Photograph the damage before and after taking these steps. Visit your property regularly to monitor for new issues, such as water damage from firefighting efforts or unauthorized entry. Retain receipts for materials or services used to protect the property.
05
Assess the Damage Relative to Your Insurance Deductible
Understand your deductible
Review your policy to determine the deductible amount. If repair costs are near or below this amount, it may be worth managing the expenses independently to avoid potential premium increases.
Hire an independent estimator
If the damage is significant, engage a reputable contractor experienced in both construction and insurance procedures to provide an unbiased assessment of the damage. This will ensure you’re not under-compensated by the insurer.
06
Apply for FEMA Assistance Concurrently with Insurance Claims
Understand FEMA's role
The Federal Emergency Management Agency (FEMA) provides assistance to individuals affected by federally declared disasters. This aid covers expenses not fully addressed by insurance, including temporary housing, personal property replacement, and other disaster-related needs.
Apply promptly
Apply for FEMA assistance as soon as possible. It's essential to meet FEMA's application deadlines; for instance, survivors of the recent California wildfires must apply by February 7, 2025.
Myths vs. Facts Regarding FEMA Disaster Assistance
Coordinate between FEMA and insurance
FEMA assistance is designed to supplement, not duplicate, insurance benefits. After receiving your insurance settlement or denial, update your FEMA application to reflect any unmet needs.
07
Track Additional Living Expenses (ALE)
Request an advance on Additional Living Expenses (ALE)
Your insurance policy's "loss of use" clause likely includes coverage for “additional living expenses” (ALE), such as hotel stays, food, and clothing. Insurers often provide an advance to cover immediate needs without requiring prior claim approval.
Document cost difference from normal expenses
If displacement forces you to incur additional living costs - such as hotel stays, increased meal expenses, or transportation - keep detailed records and receipts. You will use these to claim the additional costs of temporary living.
Negotiate for family accommodations
If staying with friends or family, ask your insurer to compensate them for the cost of hosting you. Provide itemized estimates for the value of the room and services.
08
Avoid Premature Claim Closure
Do not sign premature releases
Insurance companies may attempt to close claims quickly to minimize exposure. If offered a check labeled “in full settlement,” cross out restrictive language and notify the insurer in writing that you reserve the right to reopen the claim.
Wait for hidden damages
Allow a reasonable period to identify all losses before agreeing to a final settlement. Many issues, such as mold or structural weaknesses, surface months after the disaster. Keep your claim open until you’re confident all damages are accounted for.
Consider a public adjuster
If you encounter challenges in reaching a fair settlement, a public adjuster can negotiate on your behalf. They typically charge 9-15% fee on the recovered amount. Use the National Association of Public Insurance Adjusters (NAPIA) to find licensed professionals.
09
Maintain Insurance Coverage
Continue paying premiums
Even if your home is severely damaged or uninhabitable, keeping your insurance policy active is critical to your financial security. Lapses in payment or canceled policies can jeopardize future claims and leave you unprotected.
Update your temporary address
Inform your insurer of your temporary residence to extend liability coverage to that location. This protects you from claims arising during your displacement.
Adjust coverage levels
If your home is a total loss, ask your insurer to reduce the coverage for the structure itself while maintaining liability and personal property coverage.
10
Understand Your Coverage and Financial Resources
Review your insurance policy
Replacement Cost Coverage: Covers the cost of rebuilding or replacing your home with similar materials.
Actual Cash Value: Provides compensation based on the depreciated value of your property.
Guaranteed Replacement Cost: Offers the most comprehensive coverage, covering all rebuilding expenses regardless of limits.
Coordinate with FEMA assistance
If your insurance coverage is insufficient or there are delays in payouts, FEMA may provide additional funds for rebuilding or temporary housing. Keep documentation updated to reflect unmet needs when working with both entities.
Supplement with grants or loans
Explore local, state, or federal grants and low-interest loans that may be available for disaster recovery. FEMA often coordinates with organizations like the Small Business Administration (SBA) to provide financial support.
11
Assess Your Rebuilding Options
Once immediate safety and documentation are addressed, it’s time to rebuild. This phase requires strategic decision-making and coordination with insurance providers, FEMA, and city regulations.
Rebuild on the same property
Choosing to restore your home at its original location allows you to rebuild with added safety and improvements:
Fire-resistant materials to enhance your home’s resilience against future disasters
Fire sprinklers, improved ventilation systems, and other advancements to safeguard your property and loved ones
Energy-efficient systems and updated layouts
Relocate and rebuild elsewhere
In some cases, rebuilding on a new property may be the better option. Policies with "replacement cost" often allow rebuilding on a different property, although additional costs for more expensive locations may require out-of-pocket contributions.
Use payouts strategically
Some policies allow you to allocate funds for alternative purposes, such as purchasing a new property or starting a business. Be aware that choosing not to rebuild may shift your coverage from replacement cost to actual cash value, which could reduce your total payout.
12
Choose the Right Builder
Rebuilding is more than construction. Select a trusted general contractor who can navigate insurance claims, FEMA requirements, and updated fire-prone area building codes while designing a home that reflects your vision.
Licensing and insurance
Confirm the builder is licensed, bonded, and insured. In California, you can verify a contractor's license status through the California Contractors State License Board (CSLB).
Experience With disaster recovery
Your builder should be experienced in post-disaster construction. Prioritize those who use fire-resistant materials, defensible space design, and compliance with California’s Wildland-Urban Interface (WUI) building standards.
Reputation and transparency
Read reviews, speak with past clients, and request references. Ensure they provide a detailed, itemized contract outlining costs, timelines, and responsibilities to avoid delays or exploitation of insurance or FEMA resources.
