California Wildfires caused $1 Billion Worth of Insured Losses
The two wildfires that blazed through Northern California in September have caused damages of up to $1 billion in insured losses, the state's Department of Insurance has estimated so far.
"A year-round fire season is California's new reality," said Insurance Commissioner Dave Jones in a statement reported by ABC News. "Residents and communities, especially those in high-risk fire areas, must take precautions now before the next devastating wildfire strikes."
The fires, which started days apart from one another in the mountainous region of north and northeast San Francisco, burned through more than 200 square miles and killed six people. Thousands of residents were forced to leave their homes.
In the preliminary estimate announced on Monday, the department stated that the first fire, which was centered mostly in Lake County, caused about $700 million in insured losses. That fire was responsible for killing four people and destroying almost 2,000 buildings and structures, 1,300 of which were homes.
The second fire, which mainly affected Amador and Calaveras counties, is responsible for up to $300 million in insured losses. This fire caused two casualties and totaled more than 800 buildings.
The preliminary estimate was based on 5,600 insurance claims that were filed after the fires and through December. The majority of the claims were filed by Lake County residents.
"I'm not at all surprised because this Valley Fire sought out property with structures on it to burn, it seemed like," the Lake County Supervisor, Jim Comstock, said about the $1 billion estimate.
The estimate was very close to the one provided for by Aon Benfield. The insurance company had estimated about $925 million in covered losses. The department's estimate does not include costs to the damages that occurred to public roads and more. Aon had calculated that the overall cost, including things that were not insured, would be around $1.95 billion.
The department will have a final number in a few months.
