One year after devastating wildfires swept through parts of Los Angeles County, communities in Altadena and Pasadena are moving from recovery to rebuilding, with a growing focus on stronger, more resilient homes and businesses designed to withstand future wildfire risks.
The Insurance Information Institute (Triple-I), along with state and local officials, continues to urge homeowners to rebuild smarter, not just replace what was lost. The goal is to reduce future losses as climate-driven disasters become more frequent and severe.
“As families rebuild after an incredibly difficult year, many are looking at ways to not only restore what was lost, but to build back stronger,” said Sean Kevelighan, CEO of Triple-I. “Climate-resilient construction can help protect homes and communities from future wildfire risks.”
The fires ignited Jan. 7, 2025, destroying thousands of structures and displacing tens of thousands of residents. As reconstruction gains momentum, the scope of the recovery is coming into sharper focus.
Recovery by the Numbers
- Claims payments: Property/casualty insurers have paid more than $22.4 billion to policyholders so far. Claims payments are expected to rise as rebuilding moves from planning to construction.
- Claims filed: More than 42,000 claims have been filed across homeowners, business and auto insurance lines, according to the California Department of Insurance. Nearly 40,000 policyholders received advance payments for immediate temporary housing and urgent repairs.
- Health and safety: While debris removal is largely complete, a January 2026 UCLA study found some homes in the Altadena-Pasadena foothills still face indoor air quality concerns from lingering smoke-related pollutants.
Rebuilding Smarter
For those currently obtaining permits and architectural plans, California’s updated “Safer from Wildfires” regulations now require insurers to offer premium discounts for homes that meet specific wildfire mitigation standards. Many homeowners are pursuing certification through the Insurance Institute for Business and Home Safety’s (IBHS) Wildfire Prepared Home program.
Depending on the project, homes may qualify for either a base or enhanced designation, which includes measures such as:
Feature |
Base Designation (Retrofits) |
Plus Designation (New Construction) |
Zone 0 (0-5 ft) |
5-foot noncombustible buffer (no plants/mulch) |
5-foot noncombustible buffer + covered gutters |
Roofing |
Class A fire-rated roof |
Class A fire-rated roof |
Vents |
1/8-inch metal mesh or ember-resistant vents |
Ember-resistant vents |
Exterior |
6-inch vertical ground clearance |
Noncombustible siding (stucco, fiber-cement) |
Windows |
Standard |
Multi-pane fire-resistant windows |
Meeting the Wildfire Prepared Home Plus standard can result in insurance premium discounts ranging from about 4% to more than 40%, depending on the insurer. These improvements can also make it easier to secure coverage in higher-risk areas.
Resources for Homeowners
Residents rebuilding after the fires can find guidance and assistance through:
- LA County Forward Blueprint: Provides streamlined permitting for “like-for-like” rebuilds, often reducing permit wait times from 6 months to as little as 2–3 months.
- Triple-I: Wildfires-insurance-and-recovery-resources
- IBHS Wildfire Prepared Home: Visit wildfireprepared.org to start the application for your certification before you finalize your exterior renovations.
- California Fire Safe Council: Visit CA FireSafe Council for grants, local chapters and programs.
- NFPA Firewise USA - Residents reducing wildfire risk: Visit Firewise USA.
“Property/casualty insurers remain committed to clear communication and timely claims resolution,” Kevelighan said. “A stronger recovery today means safer communities tomorrow.”
Homeowners with questions about their claims are encouraged to contact their insurer directly. The California Department of Insurance is also available to assist with unresolved issues.
About the Insurance Information Institute
Since 1960, the Insurance Information Institute (Triple-I) has been a trusted source of data-driven insights on risk and insurance. An affiliate of The Institutes, Triple-I represents a diverse membership accounting for nearly 50% of U.S. property/casualty premiums written.
About The Institutes
The Institutes are a not-for-profit organization dedicated to educating and advancing the essential disciplines of risk management and insurance. With more than 115 years of experience, The Institutes help build resilience by understanding, predicting and preventing loss. Learn more at global.theinstitutes.org.
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“As families rebuild after an incredibly difficult year, many are looking at ways to not only restore what was lost, but to build back stronger,” said Sean Kevelighan, CEO of Triple-I.
