Have you thought about what would happen if you lost your home in a fire? You may have thought, "It will never happen to me." If you have ever evacuated, you might have thought, "I hope everything is OK." If you have sat in your car and watched walls of flame sweep through your neighborhood, you have probably bargained with Fate, "If we get through this, I'll be more prepared."
In 2007, a fire started by downed power lines and driven by 60-80 miles-per-hour winds, swept through Malibu. After the fire, my neighbor's home was destroyed. She and her husband were going through their credit card charges for the last five years trying to identify things they had purchased.
You must have adequate insurance coverage. Could you rebuild your home, or buy one of equal quality with your insurance proceeds? Is your home insured for cost, or replacement value with a built-in inflation adjustment?
Equally important is insurance on the contents of your home. Chances are you are under-insured. Look at your policy and see what the coverage is. Walk through your house and add up the replacement cost of the bigger items - furniture, television set(s), clothing, and jewelry. Your insurance agent can send someone to help you determine the adequate amount of coverage. It may result in a higher premium, but a couple of hundred dollars extra per year may be money well spent.
Second, you need proof of what you have inside your house. There are companies who come to your home and make a videotape of your belongings. If your home burned down, how long would it take just to make a list of its contents? A videotape insures that you do not miss anything and that there will be no disputes as to whether you had all the items you claim. Your insurance agent can recommend local companies for videotaping.
Third, if you have any receipts or appraisals for your expensive possessions, set them aside. Prepare list of the cost of your more valuable items. Your videotape and documentation should be kept in a safe deposit box. It won't do you any good if it gets burned up with the house.
Finally, if your house should burn down, there are professional consultants/engineers who will help you negotiate replacement value with your insurance company. If you suffer such a loss, these people will probably find you. In case they do not, you should know they exist and hire one to assist you. They do it for a living.
Kurt Kamm writes novels about fires and firefighters. A resident of Malibu, he has lived through several wildland fires. He is a regular visitor at the fire camps, stations and training academies of L.A. County Fire Department and CalFire. To learn more about his novels, One Foot in the Black, and Red Flag Warning, visit http://www.kurtkamm.com
