On anniversary of Eaton Fire, Senator Pérez unveils legislation to hold insurance industry accountable to fire survivors and aid in recovery
ALTADENA – Standing with Eaton Fire survivors on the one-year anniversary of the fire, Senator Sasha Renée Pérez (D-Pasadena) introduced two new pieces of legislation to hold the insurance industry accountable and help advance the recovery.
“On the one-year anniversary of the devastating Eaton Fire, we pause to remember the 19 members of our community who lost their lives,” said Senator Sasha Renée Pérez (D-Pasadena). “This tragedy and the ongoing struggles of every survivor who suffered tremendous losses will remain my committed focus. Today, I joined the Eaton Fire community in Altadena to advocate with strength and unity for a faster and more equitable recovery.”
The legislation introduced is:
SB 877, the Fair Claims Practices and Transparency Act, would require insurers to fully disclose all loss estimate documents and revisions to policyholders, provide clear written explanation of any changes that reduce the estimated loss and identify who made those changes.
SB 878, the Insurance Payment Accountability Act, would penalize unjustified payment delays with interest, require timely identification and explanation of disputed items, mandate payment of all undisputed claim amounts and strengthen accountability to prevent prolonged and unresolved insurance claims.
“Every Eaton Fire survivor deserves to be made whole and must not face burdensome delays and unjust treatment. This community is not asking for a handout, but only for what they are entitled to receive for the harms they have experienced. Whether from an insurance company or a utility, justice must be delivered. Too many Eaton Fire survivors have had their recoveries needlessly blocked by insurance companies’ long delays and questionable actions,” said Senator Pérez.
This legislation is sponsored by Consumer Watchdog and the Eaton Fire Survivors Network.
“Insurance delays and denials are standing in the way of recovery. It’s time to make insurance companies meet their deadlines, be honest with survivors about what it will cost to recover, and hold them accountable when they fail to pay what they owe,” said Carmen Balber, executive director of Consumer Watchdog.
“Recovery accelerates when the money shows up. When it doesn’t, families are pushed out,” said Joy Chen, executive director of the Eaton Fire Survivors Network and a smoke damage survivor."
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Senator Sasha Renée Pérez is Chair of the Senate Education Committee and represents the 25th Senate District that includes the communities of Glendale, Pasadena, Alhambra, Altadena, Arcadia, Claremont, Glendora, La Cañada Flintridge, La Crescenta-Montrose, Monrovia, Monterey Park, Rosemead, San Gabriel, San Marino, Sierra Madre, South Pasadena, Temple City, Fontana, Rancho Cucamonga, Upland, and San Antonio Heights.