The Eaton Fire in Altadena, California, has become one of the worst wildfires in U.S. history, causing an estimated damage and economic loss exceeding $50 billion. As of January 8, 2025, the fire has claimed at least two lives and resulted in the destruction of hundreds of buildings, challenging firefighting efforts due to fierce winds and depleted water supplies. AccuWeather projects losses could reach between $52 billion and $57 billion, and if the fire encroaches on densely populated areas, these estimates could rise significantly. Chief Meteorologist Jonathan Porter warned that should a substantial number of additional structures be lost, it could rank as the most devastating wildfire in California’s modern history. Comparatively, the 2023 Maui wildfires led to losses estimated at $13 billion to $16 billion. J.P. Morgan anticipates insured losses may hit around $10 billion, predominantly from homeowners’ insurance. Additionally, CoreLogic reports over 456,000 homes in the Los Angeles and Riverside areas at moderate to high risk, representing nearly $300 billion in potential reconstruction costs, although these figures are general and not specifically tied to the current fire situation.
