McGuireWoods partner Kirk Pasich recently was quoted in a Law360 article that noted Los Angeles’ recent rainfall could cause more damage from flooding and mudslides in burn areas, but coverage for those normally excluded perils is possible.
Pasich, co-leader of McGuireWoods’ insurance recovery team, said insurance companies “should not deny these claims before undertaking a diligent investigation regarding the cause of loss, and carefully considering the facts.” But if a home is damaged by a mudslide after a fire, it may not be clear that the owner’s fire insurance policy will cover it, he added.
“If you don’t reach an agreement, you can end up in a battle of expert contractors and . . . land people, to try to figure it out,” Pasich said in the Jan. 30, 2025, article titled “LA Fires Raise Flood and Mud Risk, But Coverage Possible.” He added, “[I]t’s often a question for a jury, which means no immediate answer.”
In another Jan. 30 article titled “Trump Tariffs Could Raise LA Fire Insurance Recovery Costs,” Pasich told Law360 that if tariffs raise the costs of imported materials such as lumber and cement and make rebuilding more expensive, insurers will absorb those costs.
“The protection you get is based on the real world you’re in at the time,” Pasich said. “It’s not — oh, I was getting this piece of equipment for $10,000, and now it’s $15,000 because of tariffs, so I only get $10,000. You would get the $15,000.”
To learn more about McGuireWoods resources to support those affected by the wildfires and other disasters, click here.