Recent Press with ABC 7: Homeowners Sue California FAIR Plan, Claim It's Not Paying for Home Cleanups After Wildfires
In the aftermath of the January wildfires, homeowners in Altadena and Pacific Palisades are facing significant challenges as they attempt to clean up their properties.
Many believe that their insurer, the California FAIR Plan, is not fulfilling its obligations to cover essential cleanup and remediation costs, leading to a growing frustration among victims.
The Struggle for Cleanup
Saul Kerpelman, a Pacific Palisades resident, has been vocal about his struggle with the FAIR Plan. Despite his home surviving the fire, he claims that the insurer is giving him “the total runaround.” The FAIR Plan's position is that since his house did not burn to the ground, it is "just dirty" and does not warrant significant cleaning or remediation.
“This toxic stuff is sucked into the house, and they're telling us to just go back in and live there,” Kerpelman lamented. He emphasizes the urgent need for proper cleanup to ensure his family’s safety and health.
Legal Action Against the FAIR Plan
The ongoing frustration has led to a lawsuit by multiple homeowners who argue that the California FAIR Plan is failing to uphold its duty to pay for necessary home cleanups after the wildfires. Attorney Dylan Schaffer, representing the plaintiffs, asserts that the FAIR Plan's approach is fundamentally flawed. "They’re telling people with profoundly contaminated houses to clean them themselves, which is not safe for residents," he explained.
Elizabeth Carlton, another homeowner from Altadena, echoed similar sentiments. Her home experienced smoke damage due to high winds, which blew ash into her property, leading to contamination concerns. Testing revealed the presence of lead in the ash, underscoring the need for professional removal of toxins.
The Need for Professional Remediation
Schaffer stresses that professional crews are often needed to safely remove these contaminants, which can include costly procedures like replacing insulation and ductwork—essential steps for ensuring a safe living environment for the affected families.
For the plaintiffs involved in the lawsuit, this case is about more than just financial compensation. “It’s about changing how the FAIR Plan and other insurance companies handle these claims,” Carlton stated. They aim to seek better coverage options moving forward, as they believe current practices are inadequate.
FAIR Plan's Response
In light of the lawsuit and the ongoing concerns, the California FAIR Plan issued a statement addressing their handling of smoke claims. They affirmed their commitment to pay all covered claims, including smoke damage, consistent with California law and their policy forms, which have been approved by the California Department of Insurance.
The FAIR Plan’s statement further clarifies that their policies require “direct physical loss” for coverage to apply and that independent adjusters are expected to recommend appropriate actions based on inspections. They also indicated that testing and treatment costs would be covered if deemed necessary.
Conclusion
The ongoing legal battle between homeowners and the California FAIR Plan highlights the pressing issues surrounding wildfire damage claims and the need for better insurance practices. As more victims come forward, it is critical for policyholders to be informed about their rights and the complexities of dealing with smoke damage claims.
Watch the video on ABC 7 Here
California FAIR Plan, Smoke Damage, Wildfire Claims, Insurance Bad Faith, California Insurance, Homeowners Rights, Legal Action, Fire Insurance, Home Cleanup, Insurance Claims