Insurance Commissioner Lara alerts consumers throughout the state regarding insurance coverage issues following winter storms
News: 2024 Press Release
LOS ANGELES, Calif. — As winter storms pelt the state with extreme wind, rain, and snow, Insurance Commissioner Ricardo Lara is working to help Californians understand their insurance coverage and how they can recover from storm damage. The Department has posted a Top Ten Tips for People Affected by Winter Storms to answer questions about what consumers’ insurance policies may cover.
“Consumers have been hit hard by these winter storms. It’s essential to know what your insurance covers so you can recover quickly,” said Commissioner Lara. “Even if you think you may not have a claim, it’s important to confirm this with your insurance company. You pay the premiums, you are entitled to services to help you recover with a valid claim. My team is here to help you understand your policy and how to get help if you have winter storm damage to your home, business, or vehicle.”
Many people may not be aware that homeowners’, renters’, and commercial insurance policies typically exclude flood, mudslide, debris flow, and other similar disasters. However, they can cover water damage from wind-driven rain that occurs during a storm and damage from fallen trees. Comprehensive vehicle insurance can also cover flood damage and other winter storm damage. The Department has resources and guides online to help with filing a claim.
Commissioner Lara also warned Californians to be on the lookout for illegal activities from contractors or public adjusters and to report them to Department of Insurance investigators. Last week he issued a consumer fraud alert following flood damage in San Diego County.
“There are many reputable businesses that can help you recover. Sadly, some people seek to take advantage of consumers with scams, fraudulent practices and substandard or unnecessary services,” continued Commissioner Lara. “Our Department’s experts are constantly vigilant for potential illegal activities that harm consumers. Anyone with questions or concrenrs should contact the Department of Insurance as soon as possible. We are here to help.”
Consumers can take the following steps to recovery after a winter storm:
- Obtain complete copies of your insurance policy and see what type of storm damage is covered.
- Consult with your agent or insurance company to see if damage caused from fallen trees are covered under your insurance policy.
- Check if damage to vehicles as a result of flood or fallen trees is covered under the “comprehensive” or “other than collision” portion of your auto policy.
- Check your deductible and assess the situation. If the damage is below the deductible, the insurance company would not be obligated to pay. Move forward to report the damages to your insurance company if the damages exceed your deductible.
- Make temporary repairs to prevent your property from further damage. Take pictures and keep records of all clean up and repair costs. Don’t make permanent repairs until the insurance adjuster sees the damage.
- Document all of your conversations with your insurance company/adjuster about your claim and policy limitations in a dedicated “claim diary.” If your adjuster says something is excluded, limited, or subject to certain conditions, ask the adjuster to point out the specific provision in your policy being cited.
- View our tips to avoid scams after a disaster and do not rush into repairs or rebuilding without first considering all your alternatives. Before choosing a contractor, make sure the contractor is licensed by contacting the Contractors State License Board (CSLB) in your area. Call the CSLB toll free at 1-800-321- 2752 to check a contractor’s license or get further information on home and property repairs, or log onto the internet and access their web site at www.cslb.ca.gov for further information.
- Try to settle your claim directly with your insurance company before hiring a public adjuster or an attorney. Ask your insurance agent or company representative to help you with your claim, and don’t be afraid to ask questions.
The Department of Insurance can help consumers with insurance coverage or claim questions. Contact us at our consumer hotline at 800-927-4357 or through online chat or email at insurance.ca.gov.
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Media Notes:
- Flood Insurance Resources
- Top Ten Tips for People Affected by Winter Storms – English
- Los diez mejores consejos para las personas afectadas por las tormentas de invierno – Spanish
Led by Insurance Commissioner Ricardo Lara, the California Department of Insurance is the consumer protection agency for the nation's largest insurance marketplace and safeguards all of the state’s consumers by fairly regulating the insurance industry. Under the Commissioner’s direction, the Department uses its authority to protect Californians from insurance rates that are excessive, inadequate, or unfairly discriminatory, oversee insurer solvency to pay claims, set standards for agents and broker licensing, perform market conduct reviews of insurance companies, resolve consumer complaints, and investigate and prosecute insurance fraud. Consumers are urged to call 1-800-927-4357 with any questions or contact us at www.insurance.ca.gov via webform or online chat. Non-media inquiries should be directed to the Consumer Hotline at 800-927-4357. Teletypewriter (TTY), please dial 800-482-4833.
