Verisk estimates up to $35B in insured losses from Palisades and Eaton fires

Verisk’s Extreme Event Solutions group estimates that insured losses from the Palisades and Eaton fires will range between $28 billion and $35 billion, including losses covered by the California Fair Plan.

The Palisades fire accounts for $20 billion to $25 billion, while the Eaton fire is estimated at $8 billion to $10 billion, with most losses affecting residential properties.

Verisk’s analysis incorporates demand surge, debris removal, and take-up rates, though it excludes smoke damage, ordinance or law coverage, and uninsured properties. High-value properties in Los Angeles and Santa Barbara counties, with luxury contents exposure, contribute significantly to the estimated losses.

“The ongoing devastation from these deadly wildfires is truly heartbreaking. We are advancing science and risk management to help communities build resilience against disasters like these catastrophic wildfires. The amount of data and insights to support mitigation efforts continues to grow, which can help inform how communities rebuild in the wake of this disaster.” – Rob Newbold, president of Extreme Event Solutions at Verisk .