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A Wait and See Attitude

October 25, 2007

Insurance woes loom for wildfire victims

Right now, thousands of dislocated Southern California homeowners are fretting about the fate of their residences, but the biggest headaches could come months after the wildfires ravaging the area are extinguished.Consumer advocates warn that insurance firms could take a hard line with their policyholders in the wake of the wildfire disaster, by skimping on claim payments or going so far as to efuse to write new policies altogether.

“It’s possible,” said Robert Hunter, the director of insurance for the Consumer Federation of America. “We have to wait and  see what the statistics are.”

Estimates about the extent of the damage inflicted by the wildfires to homes, cars and other personal property remain scant.

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