Fire, Smoke & Wildfire Insurance Claims
A fire claim is one claim, but it is paid out under four different parts of your policy: the structure, your contents, somewhere to live while it is rebuilt, and the code upgrades the rebuild triggers. Each carries its own limit, and most policies apply a single deductible to the loss as a whole. They are proved with different documents, they settle on different timelines, and they fail in different ways.
Where fire claims lose money
The structure is usually the least contested part of a fire loss. The money is lost in the other three.
- The contents inventory. You are asked to list what you owned — often thousands of items, from memory, with no photographs left. This is where people give up and leave value unclaimed, not because they were treated unfairly, but because the task is genuinely overwhelming.
- Additional living expense. ALE is a separate limit with its own duration. Rebuilds routinely outlast what the carrier initially planned for, and the shortfall shows up at the worst possible moment.
- Smoke and soot. The single most common fire-claim dispute is whether affected materials are cleaned or replaced. Smoke migrates into HVAC systems, soft goods, and porous materials in ways a visual inspection understates.
- Ordinance or law. A rebuild must meet today's code, not the code the house was built to. An estimate that reproduces the pre-loss structure prices none of that.
Replacement cost is paid in two stages
Most policies pay actual cash value first — roughly replacement cost minus depreciation for age, wear and condition — then release the withheld amount, called recoverable depreciation, once the work is actually completed and documented.
So a first check that looks far below rebuild cost is not necessarily wrong; it is often the ACV stage. Two things follow. Depreciation should be based on condition rather than age alone, and it should be documented line by line — you are entitled to ask what age and expected life was applied to each item. And there is normally a deadline to complete the work and claim the withheld depreciation. Ask your insurer in writing what yours is; it is set by your policy and it varies.
What to document
- Photograph and video everything before any cleanup or debris removal. This cannot be recreated.
- Keep every receipt for temporary living costs and for work done to protect the property from further damage.
- Request your complete policy and declarations page in writing.
- Build the contents list room by room rather than category by category — memory is spatial. Mine phone photos, cloud backups and order history; they recover far more than memory alone.
Who to call, and what each one costs
Your insurance companyFree
First call, always. They assign an adjuster and issue any advance. The catastrophe adjuster assigned to you may be genuinely helpful — they also work for the insurer, which is a fact about the role, not an accusation about the person.
Your state Department of InsuranceFree
The most underused resource after a loss. They answer coverage questions, take complaints about claim handling, and confirm whether anyone contacting you is actually licensed. No cost, and they take no percentage of your recovery.
A public adjuster (that’s us)Paid
Represents you rather than the insurer, normally for a percentage of the claim agreed in writing before any work begins. Useful on scope disputes, contents inventories and undocumented depreciation — and not worth it on a small claim or a pure coverage dispute. See the questions below.
An attorneyPaid
Attorneys are there to litigate claims. That is the difference: a public adjuster works out the amount of the loss and negotiates it with the carrier; an attorney takes the carrier to court. If the carrier says the loss is not covered at all, or there is a question about causation or accusation, that is litigation and it belongs with a lawyer. A public adjuster is not a lawyer and cannot give legal advice.
Read next
Common questions
Is wildfire damage covered under a standard homeowners policy?
Fire, including wildfire, is a covered peril under standard homeowners policies, and coverage generally extends to the dwelling, other structures, contents and additional living expense. What is disputed is rarely whether fire is covered — it is scope and valuation. Your policy language controls.
My house did not burn but it smells of smoke. Is that a claim?
Smoke damage from a covered fire is itself typically covered. These claims are frequently settled as cleaning when the affected materials in fact require replacement, and smoke reaches HVAC systems and porous materials that a walkthrough understates.
How long will the insurer pay for somewhere to live?
Additional living expense is normally capped by a limit, a duration, or both, and some policies extend it after a declared disaster. Ask your insurer in writing for the limit and the duration that apply to your policy, and keep the reply.
Do I need a public adjuster for a fire claim?
Not necessarily. If your adjuster is responsive, an advance has been issued and ALE is open, that is the system working. Representation tends to matter on contents inventories, scope disputes, undocumented depreciation, ALE that ends before the rebuild does, and code-upgrade costs. You always have the right to negotiate your own claim or to consult an attorney.
Request a claim review
Utah properties: contact us to discuss your claim.Kansas: commercial claims only.Send the basics and we will look at where your claim stands and tell you plainly what we see — including if the honest answer is that you are being treated fairly and do not need to hire anyone. There is no charge for the review and nothing to sign to get it.
Who wrote this, and what we get out of it
Public adjusting work is performed by William J. Addis, individually licensed in 18 states. Like nearly all public adjusters, we are paid a percentage of the claim, agreed in writing before any work begins and subject to any applicable state limits. There is no charge for the review itself. You should weigh that interest when reading anything here.
Free help exists too. Every state’s Department of Insurance assists policyholders with claims at no cost and takes no percentage of your recovery, and will confirm whether anyone contacting you is actually licensed — including us. See where we are licensed, and verify any public adjuster before hiring them.
This is general information, not advice. It is not legal advice, not an interpretation of your policy, and we are not a law firm. You have the right to negotiate your own claim directly with your insurer and the right to consult an attorney; you are not required to hire a public adjuster.
Our role, when we are engaged, is to help policyholders reach a fair and reasonable settlement of a covered loss under the terms of their own policy. Each claim turns on its own facts, policy language and jurisdiction. Kansas readers: under K.S.A. 40-5500 et seq., Kansas public adjusters are limited to first-party commercial property claims and may not represent residential homeowners.