If you lost your home in the Eaton Fire or Palisades Fire and are still waiting for your insurance company to resolve your claim — you are not alone. According to reporting by NPR and multiple public radio stations across the country, thousands of Los Angeles homeowners spent months navigating disputes with insurers over coverage amounts, delayed payments, and denied claims. LA County Counsel opened an investigation of a major California insurer in November 2025 following widespread reports from residents about claim handling practices. Many homeowners went into debt while living in rental housing awaiting resolution. The good news: settlements have been arriving. And if your insurance money has finally come through — or is on its way — this guide tells you exactly what to do next to start your rebuild as efficiently as possible.
The scale of the Eaton and Palisades fires was unlike anything California insurers had faced before. More than 16,000 structures were destroyed in Los Angeles — among the most expensive wildfire events in global history with an estimated $40 billion in insured losses according to Swiss Re Institute. The volume of simultaneous claims placed extraordinary pressure on insurance company staff, adjusters, and systems across the region.
Several factors compounded delays for individual homeowners:
This is not legal commentary — it is a summary of widely reported public information. Always consult a licensed attorney regarding your specific situation.
If your insurance company has paid your claim or you are close to a settlement, here is the sequence that gives you the best chance of starting construction efficiently:
Before any contractor can begin work your lot must complete both Phase 1 hazardous materials removal and Phase 2 fire debris removal. Confirm your clearance status at recovery.lacounty.gov. Without confirmed clearance no building permit can be issued.
Before spending any insurance funds obtain a complete written breakdown of your settlement including dwelling coverage, code upgrade coverage, additional living expenses remaining, and personal property settlement. Keep copies of everything. Your contractor and attorney will need this documentation.
In the current Altadena and Palisades rebuild environment — where licensed contractor availability is severely constrained — engaging your GC early gives you a significant timeline advantage. Your contractor can coordinate with your architect and begin pre-construction planning immediately rather than waiting for final plans.
Before finalizing your rebuild scope obtain a detailed itemized contractor estimate and review it carefully. Compare it against your settlement documentation. The relationship between your settlement amount and your actual rebuild cost is a financial matter you should review with both your contractor and a licensed financial or legal advisor.
If you have concerns about whether your settlement fully covers your rebuild costs consult a licensed California attorney who specializes in insurance matters and a licensed public adjuster. California law provides certain protections for fire victims in insurance disputes. DWD Builders cannot advise on insurance coverage or claim amounts — these are matters for licensed professionals only.
Do not wait for final architectural drawings to begin the permit process. LA County Public Works and the City of LA have streamlined permit pathways for fire rebuild projects. The earlier you submit the earlier you enter the processing queue.
One of the most common challenges facing LA fire rebuild homeowners is discovering that their insurance coverage may not fully cover current rebuild costs. Construction costs in Los Angeles have risen significantly since the 2025 fires. Based on publicly available market data and industry reports, rebuild costs in the Altadena and Pacific Palisades areas are generally being reported in a range of approximately $450 to $750 per square foot for custom single-family homes in 2026.
If you believe a gap exists between your coverage and your actual rebuild cost this is a matter to discuss with a licensed California attorney and your insurance professional.
DWD Builders is a CSLB licensed general contractor with direct experience managing fire rebuild projects across Altadena, Malibu, and Pacific Palisades. We support our fire rebuild clients in the following ways:
Document all communications with your insurer in writing and keep complete records. Consult a licensed California attorney who specializes in insurance matters to understand your rights and options. DWD Builders cannot provide insurance or legal advice.
You can engage a contractor, begin design coordination, and initiate the permit application process before your settlement is finalized. Starting early can provide a timeline advantage given the constrained contractor availability in the current LA rebuild market. Consult your attorney and financial advisor regarding the financial implications of doing so before settlement.
Code upgrade coverage — sometimes called ordinance and law coverage — is a provision in some insurance policies that covers additional costs required to bring a rebuilt structure into compliance with current building codes. Whether your specific policy includes this coverage and whether it applies to Chapter 7A requirements is a question for your licensed insurance professional and attorney. DWD Builders can document Chapter 7A compliance costs in our estimates.
DWD Builders provides detailed itemized construction cost estimates and scope documentation. We can coordinate with insurance adjusters regarding construction costs and scope. We do not provide insurance advice, claim advocacy, or legal services. For those services consult a licensed public adjuster or California attorney.
The California Department of Insurance licenses public adjusters in the state. You can verify any public adjuster's license at insurance.ca.gov. Always verify credentials before engaging any professional to assist with your insurance claim.
Do not let contractor availability be the next delay. DWD Builders is actively taking on fire rebuild projects in Altadena, Malibu, and Pacific Palisades. We offer free consultations and transparent open-book budgeting.
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