LOS ANGELES (AP) – Wildfires that broke out across Los Angeles County this week are still raging, but they are already predicted to become one of the costliest natural disasters in U.S. history.
At least 11 people killed and incinerated in devastating fire Over 12,000 structures Since Tuesday, entire neighborhoods that were once home to multimillion-dollar properties have fallen into disrepair.
It’s still too early to accurately tally the economic damage, but the losses so far will likely make the wildfires the most costly in U.S. history, according to various estimates.
AccuWeather’s preliminary estimates put the damage and economic losses to date at between $135 billion and $150 billion. By comparison, AccuWeather estimates damage and economic losses from Hurricane Helen, which hit six Southeastern states last fall, at $225 billion to $250 billion.
“This wildfire is the costliest wildfire in modern California history, and very likely the costliest wildfire in modern U.S. history. is occurring in the densely populated area around Los Angeles, home to some of the most valuable real estate in the country,” said Jonathan Porter, chief meteorologist for a private company.
AccuWeather factors numerous variables into its estimates, including damage to homes, businesses, infrastructure, and vehicles, as well as immediate and long-term medical costs, lost wages, and supply chain disruptions.
Insurance broker Aon PLC also said Friday that the Los Angeles County wildfires are likely to end up being the costliest in U.S. history, but did not release estimates. Aon ranks the 2018 Paradise, Calif., wildfire known as the Camp Fire as the costliest fire in U.S. history, costing $12.5 billion after adjusting for inflation. The Camp Fire killed 85 people and destroyed about 11,000 homes.
Wildfires in Los Angeles County Accelerated by hurricane-force Santa Ana winds and extreme drought, Saturday remained largely uncontained.. This means that the ultimate loss from a fire could potentially increase significantly.
“To put this in perspective, the total damage and economic loss from these wildfires could reach nearly 4% of California’s annual GDP,” AccuWeather’s Porter said.
Moody’s concluded in a report Friday that the wildfires will prove to be the costliest in U.S. history, especially since they destroyed densely populated areas with high-end real estate.
The state is no stranger to large wildfires, which are typically concentrated in less populated interior areas. The result was less destruction per acre and less damage to less expensive housing, Moody’s said.
This time it’s far from that. One of the largest fires destroyed thousands of properties in the Pacific Palisades and Malibu area, home to many Hollywood stars and executives with multi-million dollar properties. Many celebrities have already lost their homes to fires.
“The size and intensity of the fires, combined with their geographic scope, suggests a staggering cost, both in terms of human and economic damage,” Moody’s analysts wrote. ” he said. The report did not include preliminary cost estimates for wildfire damage.
It could be several months before a concrete tally of the economic losses caused by the wildfires is available.
“We are in the very early stages of this disaster,” Porter said.
