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Insurers Are Suing PG&E for Camp Fire Damage

california wildfire

Insurance companies are suing Pacific Gas & Electric Co. (PG&E) for the deadly Camp Fire that destroyed 14,000 homes and resulted in billions of dollars in fire insurance claims. Allstate, USAA and State Farm are some of the insurers that have stepped forward with filings from victims of the Camp Fire that began on Nov. 8.

Why Are Insurance Companies Suing PG&E for the Camp Fire?

The lawsuits, which were filed in Sacramento County Superior Court last month, stated that the fire began near a transmission line that was performing incorrectly, according to PG&E. A second possible ignition point was also noted near the PG&E distribution lines.

Under California law, PG&E would be held completely liable if attorneys can show that the fire is connected to the power lines or other equipment owned by the utility company. The company has faced numerous legal challenges, including potential criminal charges, since the 2017 Northern California wine country fires.

PG&E could be facing charges that include murder or involuntary manslaughter if investigators are able to conclude that reckless maintenance of power equipment caused the Camp Fire. In addition to these lawsuits, the utility is under serious scrutiny by the Public Utilities Commission, Cal Fire and federal prosecutors.

Other property-casualty insurers have been put under financial strain due to numerous wildfires throughout California over the past two years. Merced Property & Casualty, a small San Joaquin Valley insurance company, was declared insolvent in December due to the fire claims.

Call a Bay Area Fire Insurance Claim Lawyer Today

The Camp Fire resulted in 86 deaths and is responsible for billions in damages. The San Francisco fire claim attorneys at Mary Alexander & Associates, P.C. have experience with fire claims. Call us today at 415-433-4440 for your free consultation.

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