Los Angeles (AP) Although they are still burning, the wildfires that broke out this week around Los Angeles County are already expected to rank among the most expensive natural catastrophes in American history.
Since Tuesday, the terrible fires have destroyed over 12,000 buildings and claimed the lives of at least 11 people, destroying entire neighborhoods that were formerly home to properties worth millions of dollars.
Although it’s too early to determine the exact financial impact, estimates suggest that the damages to date have made the wildfires the most expensive in U.S. history.
AccuWeather’s initial estimate of the damage and economic losses to date is from $135 billion to $150 billion. In contrast, AccuWeather calculated that Hurricane Helene, which devastated six states in the Southeast last fall, had cost between $225 billion and $250 billion in damages and economic losses.
Because the fires are raging in the densely populated areas surrounding Los Angeles, which are home to some of the most valuable real estate in the nation, this will be the most expensive wildfire in California’s modern history and probably the most expensive wildfire in the United States as well, according to Jonathan Porter, chief meteorologist for the private firm.
Teams of firefighters from Oregon travel to Los Angeles to combat wildfires in California.
The deployment was described as one of the biggest in the state outside of Oregon by the Oregon State Fire Marshal.
AccuWeather’s estimations take into account a wide range of factors, such as supply chain disruptions, lost income, immediate and long-term medical expenses, and damage to homes, businesses, infrastructure, and automobiles.
Although it did not provide an estimate, insurance broker Aon PLC stated on Friday that the wildfires in L.A. County will probably wind up being the most expensive in American history. According to Aon, the 2018 Camp Fire in Paradise, California, cost $12.5 billion, adjusted for inflation, making it the most expensive wildfire in American history. About 11,000 homes were destroyed and 85 people were killed in the Camp Fire.
Fueled by hurricane-force Santa Ana winds and a severe drought, the wildfires in L.A. County were still mostly uncontrolled on Saturday. This implies that the total number of people killed by the fires will probably rise, possibly significantly.
According to Porter of AccuWeather, the entire damage and financial loss resulting from this wildfire tragedy may amount to about 4% of California’s yearly GDP.
Because the flames have torn through highly populated neighborhoods with upscale properties, Moody’s also came to the conclusion in a research released Friday that they will end up being the most expensive in U.S. history.
Major wildfires are nothing new to the state, but they have typically been focused in sparsely inhabited interior areas. According to Moody’s, this has resulted in less damage to less expensive homes and less destruction per acre.
This time, that is not the case at all, since one of the biggest fires destroyed hundreds of properties in Malibu and the Pacific Palisades, which are home to numerous CEOs and Hollywood celebrities with multimillion-dollar properties. Many famous people’s homes have already been destroyed by the fires.
According to Moody’s analysts, the size, severity, and geographic distribution of the fires point to an enormous human and financial cost. A preliminary cost estimate for the damage caused by the wildfire was not included in the study.
A precise estimate of the monetary losses resulting from the flames may not be achievable for several months.
Porter stated that we are only at the beginning of this catastrophe.
The Associated Press
