Disasters can cause a great deal of property damage. This point is underscored by some of the numbers coming out in relation to the major wildfires that recently struck California.
It has been estimated that these fires damaged or destroyed over 7,000 structures in the state. Also, it has been estimated that insured losses coming out of this disaster have already passed $1 billion. These losses include those related to:
- Residential structures.
- Commercial structures.
- Agricultural equipment.
- Commercial vehicles.
- Personal vehicles.
The insured loss estimate is based off of data provided to the state’s insurance commissioner by some of the insurance companies who are processing claims related to the fires.
And this initial estimate on insured losses may just be the tip of the iceberg. Experts have postulated that, when all is said and done, the total losses caused by the wildfires could come in as high as $6 billion.
The property losses coming out of major disasters like the recent California wildfires can impact many parties. For one, they can have major ramifications for the people whose property was damaged or destroyed. They can also have big implications for the companies who insured such property. Such insurers can be dealing with very high-value claims.
Among the complicated legal issues insurers can sometimes encounter in connection to disaster-related claims are disputes. What such disputes result in is among the things affect how big of ramifications, including financial ramifications, a given disaster ends up having for an insurance company. So, having experienced legal help and support can be critical for insurers when navigating disputes over disaster-related claims.
Source: Insurance Journal, “Early Data Shows Insured Losses from California Wildfires Already at $1B and Growing,” Oct. 19, 2017