Embers soar from one burning home to the next as firefighters fought the relentless flames, family homes burned to the ground as firefighters battle to fully contain multiple fires at once; all in hopes of salvaging remnants of Angelenos livelihood. Over the past month, some of the most historic fires caused abrupt devastation across multiple LA communities. The wildfires such as the Eaton Canyon, Palisades, and the new Hughes fire have taken L.A. county by storm. Burning almost 50,000 acres of land.
The Hurst, Sunset, Kenneth, Lidia, Hurst, Archer, Woodley, Auto wild fires are now contained. Firefighters are putting up a good battle with the help of inmates and other federal support from out of state to put out the flames.
Public officials such as Maxine Waters, are taking action by reintroducing an insurance bill that she has spoken to Congress about in the past. The Wildfire Insurance Coverage Study Act, a bill passed the Committee with all overwhelming bipartisan support last Congress would “require the Government Accountability Office to (GAO) to conduct a study assessing the danger that wildfires increasingly pose to communities and how the market for homeowners’ insurance is responding to this growing threat.”
Congresswoman Waters , the top Democrat on the House Financial Services Committee, worked with Congressman Brad Sherman to reintroduce the bill.
“While insurance is a state-regulated industry, my bill will help Congress and the federal government better understand what federal tools are available to respond to the risks, and how wildfires are affecting local communities and the housing supply.”
In an interview with Our Weekly, Waters said she is asking for federal support as emergency funding for fire survivors will be exhausted. “My bill was introduced long before these fires took place… because of what has happened in the north and what we are learning about climate control and the environment, I decided we need to do a deep study to find out more about insurance companies,” said Waters. “… And how they operate and being concerned about the ones that are not allowing some of the people who were insured to renew their insurance… we need more information to find out and understand what can be done by the government in relation to the cost of insurance.”
Waters also further clarified there is no overall federal jurisdiction for insurance companies but each state has individual insurance commissions that make decisions about how insurance functions. “States have insurance commissions that really make decisions about what happens with insurance, we usually are seen only when there’s a disaster and we come up with emergency money. We need to find out ‘what the federal government can do,’ aside from emergency money.”
The Wildfire Insurance Coverage Study Act will direct the GAO to study:
• The availability and affordability of insurance for homeowners and businesses in wildfire – prone areas across the U.S.
• The role that climate change plays in exacter battling wildfires and its impact on insurance markets
• Disparities in access to wildfire insurance coverage in low-income and undeserved communities
• The financial burden placed on families and businesses due to rising insurance premiums or lack of available coverage
• Recommendations for federal actions to stabilize insurance markets, expand access to coverage, and protect families and businesses from the financial consequence of wildfires
In early 2024, when Waters first introduced the bill, it was pulled from the House Floor by Speaker Mike Johnson. “I urge the Speaker to immediately bring this piece of legislation to the floor so Congress can get this bill to the President’s desk without delay. Said Waters.”
Lawmakers are seeking ways to revisit and restart efforts to delve into insurance rates in fire zones. Two weeks ago, State Farm, who decided to drop homeowners coverage in California in July of last year, announced policy renewals for policyholders who were affected by the wildfires across Los Angeles County.
State Farm said in a statement on their website, “As of Friday (Jan. 24), we’ve received over 9,800 total claims, total home, and auto claims and have already put more than a quarter billion (more than $300 Million) back into customers’ hands. We’ve made successful voice-to-voice contact with over 95 percent of customers who have filed homeowner claims.”
Congressman Brad Sherman, who represents the 32nd Congressional District, also has experience with various pieces of legislation in issues such as animal rights, protecting our environment, supporting veterans, education and energy independence.
“While insurance has traditionally been a state issue, the devastating fires in my district and the greater Los Angeles area underscore the need for Congress to focus on the availability and cost of fire insurance coverage as well as trends in wildfire declarations and mitigation practices,” said Congressman Sherman.
He continued, “A bipartisan group of Members supported this bill last year, yet it did not receive a vote in Congress. I am proud to co-lead this bill along with my friend from Los Angeles Ranking Member Maxine Waters and I urge leadership to immediately consider this legislation. And I urge Speaker Johnson to allow a floor vote on the bill as soon as it is passed by the Financial Services Committee. We cannot wait.”
