On the six-month anniversary of the wildfires that ravaged parts of Los Angeles County, members of the Eaton Fire Survivors Network gathered at the Good Neighbor Bar in Altadena to urge state officials to take action against insurance companies they accuse of mishandling claims.
The group, represented by spokesperson Joy Chen, called on Governor Gavin Newsom and Insurance Commissioner Ricardo Lara to delay any decisions that would allow home insurers, including State Farm, to implement additional rate hikes. They also requested that the state expedite an investigation into insurers’ handling of claims related to the Eaton Fire, which burned over 14,000 acres, killed 18 people, and destroyed nearly 7,000 homes and businesses.
A forthcoming study by the Department of Angels, a nonprofit advocating for fire survivors, found that six months after the fires, 70% of insured survivors have faced delays, denials, or underpayments that have hindered their recovery. The nonprofit received $10 million in seed funding from the California Community Foundation and Snap Inc. founders Evan Spiegel and Bobby Murphy.
“Families are draining their savings, maxing out credit cards, and watching generations of wealth evaporate because of the failures of our insurance companies,” Chen said, whose home was damaged by smoke from the fires. “These are not just statistics. These are parents spending everything they have to keep a roof over their heads, their children waking up at night still afraid. They’re seniors trying to live in homes filled with toxic contaminants because they have no place to go,” she added.
Chen highlighted the insurance industry’s significant lobbying power in California, spending up to $6 million annually to influence state leaders. “None of us asked to battle our insurers while trying to protect our kids and put our lives back together, but their delays and denials are pushing thousands of us to the brink,” Chen said. “They left us no choice but to stand up and fight back.”
Insurance Commissioner Lara had previously announced an investigation into whether State Farm, California’s largest home insurer, has been delaying or mishandling claims related to smoke damage and contamination. State Farm, which insures about one million customers in the state, stated it would cooperate with the review, having received approximately 13,000 claims from January’s fires and paid out around $4 billion to customers.
State Sen. Sasha Renee Perez, D-Pasadena, joined the Eaton Fire Survivors Network at the event, calling for the investigation to be expedited. “I stand with you in calling on Gov. Newsom and Insurance Commissioner Lara: No more delays. No more granting rate hikes. Use every tool available, expedite this investigation, release the findings, and compel insurers to pay their claims before any rate hikes are even considered,” Perez said.
Governor Newsom’s office marked the six-month anniversary of the fires with a statement on social media, highlighting the state’s response to the disaster. While acknowledging the progress made, the statement also recognized that “there’s more work to do.”
In a show of community solidarity, hundreds of Altadena residents, local organizations, and faith leaders were expected to host a vigil alongside fire survivors to honor the lives lost in the Eaton Fire. The event was set to begin at 7 p.m. at 181 E Los Flores Dr., the home of Evelyn McClendon, whose home and life were among the casualties of the fires.
