With the arrival of an atmospheric river and the increased risk of mudslides and debris flows, California Insurance Commissioner Ricardo Lara has called on residents to review their home or rental insurance policies. Lara emphasized that insurance companies are legally required to cover damage from mudslides, debris flows, or similar disasters if they are caused by recent wildfires that have weakened hillsides.
“Communities affected by recent wildfires are most vulnerable for mudslides, and it is critical that they know their rights in the event that they suffer further damage from mudslides or debris flow,” said Commissioner Lara. “My thoughts are with everyone affected by this powerful storm. Californians should have the reassurance that help and protections are in place to support them. Experts with my Department stand ready to help consumers with claims and questions about their policies.”
The Department of Insurance explained that areas known as “burn scars”—land left bare after a wildfire—are particularly at risk for flash floods and debris flows. The absence of vegetation means rainwater runs off more quickly, and heat from wildfires can make the soil water-repellent, increasing flood risk even with light rainfall, especially in steep terrain.
Homeowners and commercial insurance policies generally do not cover flood, mudslide, or debris flow damage unless these events are directly linked to a recent wildfire or another covered peril. The Department has published a fact sheet to help consumers understand what their policies include.
The press release referenced the 2018 Montecito mudslide in Santa Barbara County, which occurred after the Thomas Fire and resulted in 23 deaths and over $421 million in damages. In response, state law was updated to clarify insurance coverage following such disasters.
Commissioner Lara also encouraged residents to prepare for future storms and reach out for assistance if they have questions about their coverage. The Department of Insurance provides support through its consumer hotline at 800-927-4357 and online at www.insurance.ca.gov.
The California Department of Insurance, led by Commissioner Lara, regulates the state’s insurance industry, protects consumers from unfair practices, ensures insurers can pay claims, licenses agents and brokers, reviews market conduct, resolves complaints, and investigates fraud.
