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California Wildfires - Insurance & Loans

It's been a devastating week for California as wildfires burn throughout the state. Lightning storms and in one case arson sparked some of the largest fires in our history. For those who are in the midst of a purchase or sale, new lender requirements may affect your transaction so make sure to discuss your insurance coverage as soon as you enter into contract. Here's some information that might be useful but always consult an attorney, your lender and insurance agency for specific details.

Counties that have been deemed Federal Major Disaster Area:

  • Lake

  • Napa

  • San Matteo

  • Santa Cruz

  • Solano

  • Sonoma

  • Yolo

  • Monterey 

What new requirements are being implemented by some lenders?:

  • If you are in one of the 7 counties listed above a 1004D Disaster inspection  (dated after the close of the incident period) will be required to fund your loan. 

  • If you are a property located in one of these 7 counties or located within 30 miles of any active fire we will be reviewing these on a case by case basis the day of funding. 

What should you do if you are in the middle of a sale?:

  • Make sure to read all disclosures provided by your realtor. Consider the matters discussed in them, and consult with your own attorney, insurance professional, and any other qualified expert about any questions or concerns the Property Owner might have.

  • Remember, Brokers and Agents are not qualified to and will not investigate or advise on matters that an attorney, insurance professional, or other qualified expert should be consulted on.

  • Research insurance coverage as quickly as you can. Some agencies are not insuring in certain locations and premiums may play a factor in your ability to qualify.

  • If you are a Seller, make sure you understand your obligation to disclose any fire damage and repairs that might have occurred.

Some Helpful Resources:

Federal Emergency Management Agency (FEMA) Disaster Hotline

800 621.FEMA 800.621.3362 800.462.7585 ( TTD)

Department of Insurance

800.962.1125 (victims) 800.321.CSLB 800.321.2752

Department of Consumer Affairs



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