Sample Scenarios for Debris Insurance Collection

The table below provides general guidelines on how the two types of policies would handle various scenarios. It is a general guideline, and property owners are not to rely on the information for accuracy as to their specific policy. Fire survivors should work with their insurance carriers to obtain accurate information as to their specific insurance policy. Each scenario may be modified depending on specific terms of a policy.

Question: Will I owe debris removal proceeds out of my insurance policy if…	Policy 1 Specified Amounts	Policy 2 No Specified Amount (within categories and can be used for rebuild/replacement home)
Will I owe debris removal proceeds out of my insurance policy if I sold my property, received my insurance payout (including debris removal), and haven’t yet purchased a replacement home?	Generally, yes. Working with your insurance company, identify what amount you received from your policy that was designated for debris removal. If you incurred expenses to resolve debris removal issues on the sold lot, you should submit a Withholding Form and supporting documentation, and any remaining insurance money. If you did not incur any additional expenses, you should submit an Insured Statement with the debris removal insurance money.	Generally, no. [1] You should submit an Insured Statement to the County of these circumstances and state that you will contact the County upon the purchase of a replacement home to reconcile any insurance proceeds that may be due to CalOES/FEMA.
Will I owe debris removal proceeds out of my insurance policy if I sold my property, received my insurance payout (including debris removal), and don’t plan to purchase a replacement home?	Generally, yes. Working with your insurance company, identify what amount you received from your policy that was designated for debris removal. If you incurred expenses to resolve debris removal issues on the sold lot, you should submit a Withholding Form and supporting documentation, and any remaining insurance money. If you did not incur any additional expenses, you should submit an Insured Statement with the debris removal insurance money.	Generally, yes. Working with your insurance company, identify what amount you received from your policy that was designated for debris removal. If you incurred expenses to resolve debris removal issues on the sold lot, you should submit a Withholding Form and supporting documentation, and any remaining insurance money. If you did not incur any additional expenses, you should submit an Insured Statement with the debris removal insurance money.
Will I owe debris removal proceeds out of my insurance policy if I sold my property, and used my entire insurance payout (including debris removal) to buy another home?	Generally, yes. Working with your insurance company, identify what amount you received from your policy that was designated for debris removal. If you incurred expenses to resolve debris removal issues on the sold lot, you should submit a Withholding Form and supporting documentation, and any remaining insurance money. If you did not incur any additional expenses, you should submit an Insured Statement with the debris removal insurance money.	Generally, no. You should submit an Insured Statement to the County of these circumstances.[2]
Will I owe debris removal proceeds out of my insurance policy if I sold my property, and didn’t use my entire insurance payout (including debris removal) on a replacement house?	Generally, yes. Working with your insurance company, identify what amount you received from your policy that was designated for debris removal. If you incurred expenses to resolve debris removal issues on the sold lot, you should submit a Withholding Form and supporting documentation, and any remaining insurance money. If you did not incur any additional expenses, you should submit an Insured Statement with the debris removal insurance money.	Generally, yes. Working with your insurance company, identify what amount you received from your policy that was designated for debris removal. If you incurred expenses to resolve debris removal issues on the sold lot, you should submit a Withholding Form and supporting documentation, and any remaining insurance money. If you did not incur any additional expenses, you should submit an Insured Statement with the debris removal insurance money
Will I owe debris removal proceeds out of my insurance policy if I’ve received partial insurance payouts that included debris removal) and have not completed my rebuild?	Generally, yes, unless you anticipate incurring expenses for additional debris removal and/or to repair property damaged as a result of the debris removal process. If not, you should submit an Insured Statement and any applicable insurance funds to the County. If you do anticipate further costs, you should submit an Insured Statement to the County with this information, agreeing to contact the County upon completion of the rebuild to reconcile any remaining applicable insurance proceeds that may be due to CalOES/FEMA.	Not at this time. You should submit an Insured Statement to the County with this information, agreeing to contact the County upon completion of the rebuild to reconcile any remaining applicable insurance proceeds that may be due to CalOES/FEMA.
Will I owe debris removal proceeds out of my insurance policy if I’ve received insurance payouts for debris removal and have finished my rebuild?	Generally, yes. Working with your insurance company, identify what amount you received from your policy that was designated for debris removal. If you incurred expenses to resolve debris removal issues on the lot, you should submit a Withholding Form and supporting documentation, and any remaining insurance money. If you did not incur any additional expenses, you should submit an Insured Statement with the debris removal insurance money.	Generally, yes. Working with your insurance company, identify what amount you received from your policy that was designated for debris removal. If you incurred expenses to resolve debris removal issues on the lot, you should submit to the County a Withholding Form and supporting documentation, and any remaining insurance money. If you did not incur any additional expenses, you should submit an Insured Statement with the debris removal insurance money
Will I owe debris removal proceeds out of my insurance policy if I haven’t settled with my insurance company?	Not at this time. The fire survivor should submit an Insured Statement to the County of these circumstances, and include language that upon settlement, the property owner will contact the County to reconcile any remaining applicable insurance proceeds that may be due to CalOES/FEMA.	Not at this time. The fire survivor should submit an Insured Statement to the County of these circumstances, and include language stating that upon settlement, the property owner will contact the County to reconcile any remaining applicable insurance proceeds that may be due to CalOES/FEMA.

[1] Dept. of Ins. October 2017 Wildfires Consolidated Debris Removal Program Insurance Fact Sheet 11/1/2017

[2] Dept. of Ins. October 2017 Wildfires Consolidated Debris Removal Program Insurance Fact Sheet 11/1/2017