Understanding the California Wildfire Fund
If your home was damaged in recent wildfires, it is important that you have an understanding of the different resources available to you. Below, we will discuss the California Wildfire Fund.
Were you affected by a recent wildfire? If you were affected by a recent wildfire, it is important that you explore the legal options available to you. There may be other options available to you in addition to filing a claim with your own homeowner’s insurance policy. If you are interested in exploring the options available to you, contact our team here at the Downtown L.A. Law Group as soon as possible. Our team has decades of experience and is more than ready to handle your claim and fight for your right to pursue a claim and get justice. Contact us today.

$1.93 Million
$2,287,495
$54 Million
$22 Million
$600,000
$965,000
$1,900,000
$1,975,000
The California Wildfire Fund is a program was established in 2019 through Assembly Bill 1054. The goal of the program is to provide financial stability to utility companies facing liability due to damages caused by wildfire. It was created in response to the increase in frequency and severity of wildfires. Utilities found to be liable for wildfire damages due to their equipment sparking said fires. These utilities companies faced billions in liabilities.
In addition to ensuring that utility companies have the financial stability to compensate victims of wildfires caused by faulty utility equipment, the program encourages utility companies to prioritize safety and wildfire prevention, and protects utility customers from bearing excessive financial burdens to cover costs associated with liability.
To summarize, the program provides financial resources for certain eligible claims that arise from wildfires caused by utility companies, like SCE, PG&E, and more.
Where Does the Money in the California Wildfire Fund Come From? The fund is essentially a pool of money that covers utility companies when they are found liable for damages caused by wildfires. The funds come from utility contributions and ratepayer contributions. Utility companies contribute to the fund via an initial contribution (when the program started) and an annual contribution based on the size of the utility company and the wildfire risk associated with the utility company. Utility customers account for ratepayer contributions; these contributions come from a monthly surcharge on utility bills.
How much money is in the California Wildfire Fund? The fund was established with $21 billion, which consisted of utility contributions and ratepayer contributions. As of December 2024, the fund had a balance of $14.7 billion.
Does the California Wildfire Fund change liability for wildfires? No, utility companies still remain liable for damages if their equipment sparks wildfires. However, some have argued that the funds essentially reduce financial pressure on utility companies to prioritize safety at the sites of their equipment, as it serves as a sort of safety net. Although the fund certainly provides a financial safety net for these utility companies, it is important to highlight that they can lose access to funds if they do not act responsibly or do not meet the safety standards set by the program. This means that, in some circumstances, wildfires may not be covered under the program and the utility company may need to pay damages directly.
How utility companies have avoided bankruptcy – So far, the fund has already been used to compensate the victims of multiple wildfires caused by defective utility equipment. Access to the program has helped these utility companies avoid bankruptcy, as a bankrupt utility company would affect countless customers. In addition to avoiding bankruptcy to liable utility companies, the program ensures that there are financial resources available for victims.
Legislation Provides Additional Resources for those Affected by California WildfiresGovernor Newsom has signed a special session legislation to provide over $2.5 billion for Los Angeles County to support response efforts and jumpstart recovery/rebuilding. The special session legislation refers to Abx1-4 (by Assemblymember Jesse Gabriel) and SBx1-3 (by Senator Scott Wiener).
The legislation includes the following:
- $2.5 billion to expedite initial response and recovery efforts
- $4 million to expedite rebuilding
- $1 million to rebuild school facilities damaged by fires
- And more
Yes – you could have grounds to file a claim and receive compensation. For more information about the legal options available to you, contact us today. Our team is more than ready to provide you with the guidance that you need to fight for your rights and get justice after the recent SoCal wildfires, including the Eaton Fire and the Palisades Fire. Contact our wildfire lawsuit lawyers today.
The Wildfire Lawsuit Lawyers at the Downtown L.A. Law Group Can Help You – if your property was damaged in any of the recent SoCal fires, like the Eaton Fire that ravaged through Altadena, and parts of Pasadena and the Angeles National Forest, contact us today! You could have grounds to file a lawsuit and receive a significant recovery. If you are ready to explore the options available to you or simply lean more about the possibility of filing a claim, contact us today.
Free Case Evaluations: we believe in remaining accessible to all. To ensure that we remain accessible to anyone looking for legal help, we offer free legal services, which include free consultations and free second opinions. In other words, whether you are looking to begin or continue your claim after starting it elsewhere, you can trust that our team is more than ready to provide you with the guidance that you need. To schedule a free case review, contact us today.
Zero-Fee Guarantee: you will never be required to pay any upfront legal costs for any of our legal services. In addition, our law firm works on a contingency structure, meaning that our team will not be required to pay anything if their claims are not successful. If you do not win, you will not have to pay any legal costs.
Contact us today to learn more about how we can help you with your wildfire lawsuit.
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