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Fire plays an important role in the life of a forest, clearing away dead wood and undergrowth to make way for younger trees. But for much of the last century, fire-suppression policies have sought to extinguish wildfires as quickly as possible to preserve timber and real estate. This approach has led to the accumulation of brush and other vegetation that is easily ignited and serves as fuel for wildfires. Most of the large fires with significant property damage have occurred in California, where some of the fastest developing counties are in forest areas that were once largely uninhabited.
($ millions)
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(1) Includes losses sustained by private insurers and government-sponsored programs such as the National Flood Insurance Program. Includes events that occurred through 2021. All fires on this list occurred in California. Includes Puerto Rico and the U.S. Virgin Islands. Ranked on losses in 2021 dollars. Subject to change as loss estimates are further developed. As of Feburary 3, 2022.
(2) Adjusted for inflation by Aon using the U.S. Consumer Price Index.
Source: Aon.