California lawmakers are considering new legislation that could make it easier for homeowners to file and collect insurance claims for smoke damage after wildfires.
Assembly Bill 1795 was introduced in response to reports of insurers and the California FAIR Plan denying or limiting claims for testing and cleanup of heavy smoke and soot damage after the 2025 Los Angeles wildfires. As a result, many families have been forced to return to homes coated in toxic residue.
The Smoke Damage Recovery Act, authored by Mike Gipson, a Democrat from Gardena, would establish the nation’s first enforceable public health and insurance standards for smoke-damaged homes to expedite the claims process.
Smoke damage is a serious health risk
Besides an unpleasant odor, wildfire smoke can leave behind microscopic particles and toxic substances, such as:
- Lead
- Asbestos
- Beryllium
- Fine particulate matter (PM2.5)
- Ash and soot residues
These contaminants can cling to walls, ceilings, insulation, ductwork and HVAC systems. Soft materials such as couches, curtains, carpets and mattresses can absorb smoke and harmful chemicals. Even if surfaces look clean, toxins may remain embedded in fabrics or inside wall cavities.
Exposure can irritate the lungs and eyes, worsen asthma and other respiratory conditions and pose heightened risks to children and older adults. Long-term exposure to certain heavy metals or asbestos fibers can increase the risk of chronic illness.
The problem: no statewide standards
One of the biggest challenges L.A. homeowners faced after the fires in 2025 was the absence of statewide standards for testing and cleaning smoke-damaged homes. Insurers and homeowners often disagreed about what qualified as adequate remediation.
Investigative news reports found that some insurers sent industrial hygienists who recommended limited testing and less thorough cleaning. Homeowners who hired independent experts sometimes received conflicting findings. Many families faced delays, partial payments or outright denials of coverage for smoke testing and restoration.
In some cases, families reported being told it was safe to return home despite visible soot, lingering odors or independent test results showing contamination.
How AB 1795 could help homeowners
AB 1795 would direct state agencies to create clear, science-based protocols for:
- inspecting and testing indoor smoke contamination.
- determining acceptable contamination thresholds.
- defining when remediation is adequate.
- establishing uniform claims-handling practices.
The standards would draw on public health benchmarks for air quality, surface contamination and particulate matter. They would also spell out acceptable testing and cleaning methods, reducing disputes over what is necessary.
Importantly, the bill includes an early-action provision. If a state or local health agency introduces specific smoke testing or restoration standards, homeowners could rely on those benchmarks to support their claims while statewide rules are being finalized.
That provision is designed to prevent families from waiting months or years for regulations to be completed before receiving help.
What this means for homeowners
Most homeowner’s policies cover smoke damage as a “direct physical loss,” even if flames never touched the property. But without clear standards, proving the extent of damage can be difficult as the L.A. wildfires have shown.
If AB 1795 becomes law, homeowners could have clearer guidance on when a home is safe to reoccupy and stronger footing when requesting testing, cleaning or replacement of contaminated materials.