Latest news with #UnitedPolicyholders
CBS News
27-05-2025
- Business
- CBS News
Resource guides and links for homeowners and renters
Understanding homeowner's and renter's insurance can be daunting, with more questions than answers. KCAL News is here to help provide resources to help answer those questions. It is all apart of KCAL Insurance Week: We've Got You Covered. Below is a list of organizations and agencies that focus on insurance and consumer rights. United Policyholders United Policyholders is a nonprofit whose mission is to be provide trustworthy and useful information for consumers of all types of insurance across the country. The organization doesn't sell insurance or take money from insurance companies. United Policyholders aims to help guide people buying insurance and navigating claims. United Policyholders Contact by mail: 917 Irving Street, Suite 4, San Francisco, CA 94122 Email: info@ After the Fire USA After the Fire USA was created following a devastating wildfire in Northern California in 2017 to address the national needs of wildfire victims. The organization says it works in two ways: as a nonprofit and a consulting arm to help stabilize the nonprofit wing financially. Since November 2018, After the Fire USA has focused on organizing people to problem solve, advocate, and help communities recently impacted by fires find a path to recovery. The organization also mentors leaders in wildfire affected areas with design and recovery efforts. California Department of Insurance The California Department of Insurance is part of a national system of state-based insurance regulation, with consumer protection being a core mission. Insurance Commissioner Ricardo Lara currently leads the department. The agency functions include overseeing insurance solvency, licensing agents and brokers, conducting market conduct reviews, handling consumer complaint and investigating and prosecuting insurance fraud.
Los Angeles Times
23-05-2025
- Business
- Los Angeles Times
How to Make Sure You're Properly Insured Before the Next Wildfire
Recent wildfires have reshaped California's insurance landscape, and some Los Angeles homeowners are seeing their premiums skyrocket or are facing policy non-renewals. Wildfire survivors have also gotten smaller insurance payouts than expected, and other Los Angeles County residents who were spared from the fires may not realize they're underinsured. But there are proactive steps you can take now to make sure you're protected in the next blaze. Use this guide to learn how to prepare the proper documentation, choose the right amount of coverage, and know your rights. Standard homeowners' policies usually cover wildfire damage, but in high-risk zones, coverage may be reduced, excluded, or even canceled. 'Your insurance company is not on your side or your good neighbor. They're a for-profit business,' Amy Bach, Executive Director of United Policyholders, warned homeowners. Review these key components of your policy: If your insurer has dropped your policy or won't renew, compare policies through a broker, shop regional carriers, or seek help through the FAIR Plan. Many major insurers, including State Farm and Allstate, have limited or paused new policies in wildfire-prone regions, but you're not out of options. Alternatives include: Ask brokers about bundling options and ensure you're comparing policies based on replacement cost coverage, not just price. Know Your Rights Wildfire survivors in California are protected by a growing set of regulations and state laws enforced by the California Department of Insurance. If you believe your insurer has acted unfairly, file an online complaint with the California Department of Insurance or call 1-800-927-4357. 'They owe to replace what you had with like kind and quality up to your policy limits,' Bach said. 'Stick for stick, board for boards, the exact same house that you had.' California law requires insurance companies to offer discounts to homeowners who make their homes more fire-resistant. These discounts can range from 5% to 20%, depending on the insurer and the upgrades you make. Don't wait for disaster to strike. Take these documentation steps today so that the evidence can speed up your claim and reduce disputes over what was lost. 'The insurance company is not always going to take your word for things,' Bach said. Documentation can 'make or break your case.' Annual check-ins with your insurance agent allow your coverage to keep pace with your home's value and fire risk. Bach also recommends checking your dwelling coverage with some simple math to be sure it's realistic for California's current costs. 'If you know how many square feet of living space is in your home, and you know what your current dwelling limit is on the house,' Bach said, 'you want to divide that dwelling limit by the amount of square footage and see how much money you would have available to you to pay a contractor.' Bach said the amount can vary based on your home, but it should be somewhere between $300 and $400 a square foot at a minimum. Other experts estimate that rebuilding after the wildfires can average $600 per square foot, factoring in tariffs, labor shortages and increased demand. Custom homes or properties built with high-end, fire-resistant materials can reach over $1,000 per square foot. If you're not sure where to start, visit United Policyholders for more wildfire recovery and insurance resources. You can also try the insurance finder tool from the California Department of Insurance or read more insurance tips from CAL Fire.
Los Angeles Times
14-05-2025
- Business
- Los Angeles Times
What to Do if You're Underinsured After a Wildfire
After a wildfire, some homeowners experience a second shock when they open their policy and discover their insurance won't cover the full cost to rebuild. If your policy limit is too low to restore your home, you're considered underinsured, and it's a problem that affects many Californians, even those who thought they were fully protected. Amy Bach, Executive Director of United Policyholders, a nonprofit that helps disaster survivors navigate insurance claims, said underinsurance is one of the most common and complex challenges after a wildfire. But there are ways to identify your options, close the gap, and, in some cases, push back on your insurer. The first thing to do is figure out how your coverage amount was set, and whether the underinsurance is the result of something you did, or the result of bad advice or miscommunication from your agent or insurer 'We encourage people to look through their emails and see what kind of communications they had with their agents and their insurance company,' Bach said. 'Did you ask for full coverage and get that assurance in writing?' If you can find emails or records showing that your agent told you the coverage would be enough, and it wasn't, you may have a case to challenge the policy limits 'That's the make-or-break for an underinsurance case,' Bach said. 'If you have any evidence that the insurance company gave you that assurance, that can be the difference between getting your limits retroactively increased and just being stuck.' Underinsurance often occurs when a homeowner hasn't adjusted their policy to keep up with rising construction costs or changes to their home. A policy might have been adequate years ago, but inflation, new building codes, and post-disaster price surges can leave coverage tens or even hundreds of thousands of dollars short. To avoid this, experts recommend: In some cases, homeowners may have chosen not to add these features without fully understanding the risks, or weren't clearly advised about their options. 'The law in California is that the insurance company only has a duty to get you insurance. It doesn't have to be customized or adequate unless they voluntarily undertook a duty to make the coverage fit what you needed,' Bach said. Even if your limits can't be increased, there are strategies to help you close the coverage gap. Use Other Parts of Your Policy Some survivors use unspent personal property coverage to help pay for rebuilding, especially if they're not replacing everything they owned. In some cases, careful use of Additional Living Expenses (ALE) coverage can also help bridge short-term financial needs. Scale Back the Rebuild Bach said some homeowners choose to adjust their relocation or rebuilding plans based on how far their insurance money can go. 'Some people fill their gap by using their contents money,' Bach said. 'Some people fill their gap by building a smaller home.' Consider a Group Rebuild In fire-damaged communities, some homeowners work together to lower costs by organizing group rebuilds. 'They get together with a bunch of neighbors. They hire one builder. The builder gives them five choices of plans,' Bach said. 'It's sort of a semi-custom situation, and it makes it financially viable.' Apply for a Loan Homeowners may choose to borrow money to rebuild through a loan or a home equity line of credit (HELOC). Bach said the best approach for most people is the Small Business Administration (SBA) disaster loan because of their very low interest rates. Affected homeowners can secure an SBA loan to supplement their insurance payment, even if they don't own a business. If you believe you were misled or that your insurer acted in bad faith, it may be time to seek legal help. 'Very often, people who are underinsured end up having to hire a lawyer if they really want to push back,' Bach said. 'It's very hard to do it on your own.' United Policyholders has more information and self-help materials on its website to guide underinsured wildfire survivors through the recovery process.'
Los Angeles Times
09-05-2025
- Business
- Los Angeles Times
Think Your Homeowners Insurance Payout Is Too Low? Here's How to Push Back
Many wildfire survivors in Los Angeles are running into the same frustrating pattern after filing their insurance claims. The payout falls short of what they need to rebuild, or the check might only cover part of the damage based on a computer-generated estimate that doesn't match reality. If you believe your insurer has underpaid you, there are steps you can take to challenge the amount and demand a fairer settlement. Amy Bach, executive director of United Policyholders, a nonprofit that advocates for insurance consumers, shared guidance on how to push back. 'If your insurance company has offered you less than what you believe you're entitled to ... start by getting an independent estimate of your loss,' Bach said. This could come from a local contractor or builder. If the underpayment relates to your home's structure, hire someone with experience in post-disaster assessments. If it's about your personal belongings, prepare a detailed contents inventory. Bach also recommends pairing your estimate with a scope of loss, which documents the quantities and qualities of materials that were in your home, without including prices. It provides more detailed information, such as the square footage of carpeting, the type of countertops, molding details, and whether any features were custom. 'We really encourage people to take the time … so that they can compare apples to apples with the insurance company's estimate,' Bach said. It may cost money to do, Bach added, but it's especially important for people who want to buy a new home instead of rebuilding. When generating payouts, insurers often rely on software like Xactimate to estimate costs, Bach said. 'The default settings are for tract homes and flat areas. The pricing is not going to be realistic for California very often,' because of the custom homes and higher building costs, Bach explained. Insurers may also use contractors who, according to Bach, 'are friendly to them, who are going to say what they want.' They are typically 'on the low side of their quotes,' she added. When it comes down to it, 'having a real-life local builder give you an estimate to put your house back the way it was, before the loss, is going to get you a lot farther than anything else,' Bach said. Once you have your own documentation, send it to your insurer with a clear and professional letter about your claim. 'Present your position … and reference the laws that insurance companies are obligated to follow,' Bach said. This letter should include your independent estimates, photos, receipts, and any other supporting documentation. Clearly state the amount you're requesting, why you believe it's justified, and that you expect the company to comply with California insurance regulations. 'You have to be businesslike about it — this is a negotiation,' Bach said. If your insurer still won't budge, there are other steps to take to increase the payout, like filing a complaint with the Department of Insurance. California's Department of Insurance accepts consumer complaints online and may contact the insurer to help get to a resolution. This step creates a formal paper trail, which can be helpful if the dispute continues. 'People go off track in their negotiations with their insurance company, because the insurance company thinks they're trying to profit from their loss,' Bach said. 'That's why we really emphasize proving your case through independent documentation from third parties.' If the matter remains unresolved, Bach said it may be time to bring in outside help like a public adjuster or a lawyer. Public adjusters typically charge a percentage of your settlement, which is paid after it is secured. Under California law, public adjusters cannot take more than 10% of the total insurance recovery claims related to a declared disaster, like the Palisades and Eaton wildfires. Bach recommends using California-based adjusters, checking their references, and ensuring they're members of reputable trade associations, such as the Pacific Coast Association of Public Insurance Adjusters (PCAPIA) or National Association of Public Insurance Adjusters (NAPIA). Bach said it's the best way to ensure they know California law and can help you recover everything you're owed to rebuild 'stick for stick, board for board, the exact same house that you had.' Being an advocate for yourself, staying organized, pacing yourself, and comparing notes with neighbors insured by the same company can make all the difference when disputing a payout, Bach said. 'Your insurance company is not on your side or your good neighbor. They're a for-profit business,' Bach said.
CBS News
01-05-2025
- Health
- CBS News
Residents whose homes survived the wildfires are facing issues with their insurance claims
People whose homes survived the deadly Eaton and Palisades fires are considered the lucky ones while they are surrounded by neighbors who lost everything. Those residents worry their homes may never be safe to live in again. Some very dangerous materials burned in the fires, things like lithium batteries, asbestos and lead. Residents whose homes survived told KCAL News they don't have a lot of confidence that their insurers will pay to properly clean and de-contaminate their homes. Even though residents who live near the Eaton Fire burn scar still have their homes, they are now facing issues with their insurance claims. KCAL News "You don't really notice it, but then when you wipe it, that's what you're dealing with," said Phil Lindholm, an Altadena resident. Throughout his home there are remnants of the Eaton Fire that tore through his neighborhood and burned several homes on his street. He said there is ash and soot everywhere and when he walks in, it smells like a campfire. Kirstin Davis lives right next door to a home that burned, her house is also covered in ash. Davis said that as a parent, it's concerning to have a home full of toxins that could cause health issues. The Lindholm and Davis families are still waiting on their insurance to send out an adjuster to tell them how and when their homes will be cleaned. "They don't do environmental or toxicity testing. They don't cover the air, so if the neighborhood air quality is bad, that doesn't matter as long as my structure is cleaned up; that's all they'll do," Davis said. It's the long-term health risks that have parents like Colin Fisher worried if they can ever move back. He and his wife lived here with their 1-year-old son. His sons' toys and crib are now covered in ash. "I have no idea if it's toxic, if it's lead. I have a 16-month-old, and I don't want to expose him to lead," Fisher said. "Like if your house burned down, they say they'll take the foundation, the dirt and the ash away, but if your house didn't burn down, my backyard is 10 feet away from a house that will be removed." Most residents told KCA News they haven't received any claim advancement from their insurance companies. California law only requires those up-front payments for those whose homes are a total loss. "There are a lot of gray areas, unfortunately, around remediating, you know, fixing smoke damage and restoring a home in a wildfire area that's still standing to a safe and habitable condition," said Amy Bach, with United Policyholders, a consumer advocacy group. Jason Knedel lived in his childhood home with his wife and elderly mother. The Eaton Fire destroyed the home next door and behind it. "We aren't going to get back into our house for at least a year, and even if we do, we will have to move out when they start demolishing," Knedel said. Bach suggests that homeowners who are concerned about the safety of their homes consider hiring their own indoor air quality expert to guide them. "We hear so many stories about insurance company adjusters who don't have the requisite training, licensure, or experience telling people that their homes are safe to move back into when the homeowners don't really think that's true, and that adjuster has absolutely no qualifications to make that serious a judgment call," Bach said. While these residents are considered the lucky ones, survivors of the fire feel like their luck has run out and they'll be left for years to pick up the pieces.
