A new “rapid response” effort to prevent and prosecute insurance fraud targeting wildfire survivors is now operational, it was announced on Friday.
The partnership described by Insurance Commissioner Ricardo Lara and L.A. County District Attorney Nathan Hochman focuses on raising awareness, prosecuting fraud and equipping survivors with tools to navigate recovery safely.
“Scammers exploit vulnerable times, preying on survivors with false promises and fraudulent schemes,” Lara said in a statement.
“We’ve seen this in past wildfires. By partnering with the Los Angeles County District Attorney’s Office, we*re amplifying protections for wildfire victims and empowering consumers to protect themselves. My department is committed to guiding you with resources to make informed decisions and avoid scams.”
As survivors begin recovery, Lara said, the insurance department’s Disaster Assistance Response Team has been deployed to wildfire-affected areas to protect survivors from scams and fraud. In coordination with the contractors state license board and other agencies, DART helps educate residents about their rights, checks contractor and vendor licenses, and ensures compliance with state regulations.
The D.A.’s fraud and corruption prosecutors, meanwhile, are working with county and state agencies to hold individuals and businesses accountable for fraud, including insurance, public benefits, and charitable donation scams. Penalties for fraud can include fines and jail or prison time, Hochman said.
“Our office’s fraud-fighting prosecutors have a message for scammers: You will not get away with impersonating insurance companies in order to steal from wildfire victims in Los Angeles County,” Hochman said Friday. “Our office is on high alert for insurance scams and we will relentlessly pursue and seek the maximum punishment for the criminals who seek to exploit the victims of the LA County fires. … Insurance fraud will not be tolerated under any circumstances.”
In previous wildfires, the insurance department arrested criminals engaged in fraud, including one case where a person falsely posed as legal counsel, filed fraudulent smoke and ash claims, and pocketed settlement checks, Lara said.
To address common scams like public adjuster fraud, the insurance commissioner issued a notice reminding public adjusters to adhere to strict laws governing their conduct. Lara urged survivors to carefully review adjuster contracts, understand fees — typically a percentage of the insurance claim —and verify the adjuster’s license on the department’s website.
As part of the educational effort, Lara is hosting free two-day insurance support workshops on Saturday and Sunday in Santa Monica and Jan. 25 and 26 in Pasadena to help survivors understand their insurance policies and the claims process, while also providing information about available resources for rebuilding and recovery.
The workshops are open to all those impacted by the recent wildfires. Call 800-927-4357 to schedule a one-on-one appointment with a Department of Insurance expert.
The department has resources for disaster survivors and strongly encourages consumers to check out the help, including how to avoid scams after a disaster. There is often unscrupulous individuals who try and take advantage of disaster survivors who can be vulnerable during a challenging time, Lara said.
Consumers who have questions on their insurance or wish to file a complaint against a public adjuster can do so on the department’s website or by calling 800-927-4357.
The insurance department urges consumers to check the public adjuster’s license and make sure they are properly licensed and in good standing by visiting the department’s website or by calling the 800 number.
Also, Lara said, homeowners should be sure to check the contractor’s license with the contractors’ state license board.