Fire Damage Insurance Claim Guide for Arizona Homeowners

A plain-language walkthrough of the fire insurance claim process in Arizona — what to expect, what to do, and what most families miss.

1. How to File Your Fire Damage Claim Step by Step

After a fire, the insurance process can feel overwhelming. Here is the sequence that works best, based on what we have seen across hundreds of Arizona fire losses.

Immediately after the fire (Day 1)

• Call your insurance company's claims hotline. This is on your declarations page, your insurance card, or the company's website. You are reporting the loss — not agreeing to anything.
• Get a claim number. Write it down. You will need it for every call, every email, and every form from here on.
• Ask about emergency services. Your policy likely covers board-up, tarping, and emergency water extraction. The insurer may dispatch these directly, or you can hire a licensed restoration company and submit for reimbursement.
• Request an advance on ALE if you need immediate housing. Most insurers will issue an emergency payment within 24-48 hours.

Within the first week

• Meet your adjuster. The insurance company will assign a field adjuster to inspect the damage. Be present for this inspection if at all possible.
• Start your contents inventory. Go room by room and list everything that was damaged or destroyed. Include descriptions, approximate purchase dates, and estimated replacement costs. See our fire recovery checklist for a structured approach.
• Secure the property. Board-up, fencing, or locks to prevent further damage or liability. This is your responsibility as the policyholder — and your policy covers it.

Ongoing (weeks 2-8)

• Review the adjuster's estimate line by line when it arrives. Compare it to independent contractor estimates.
• Submit your proof of loss within the deadline stated in your policy (usually 60-90 days).
• Negotiate if needed. The first offer is not always the final offer. Documented disagreements with supporting evidence are normal and expected.

2. What Your Adjuster Does vs. What You Need to Do

Understanding who is responsible for what prevents surprises and protects your interests. For a deeper look at all the players involved, see our guide on who does what after a fire.

Your insurance adjuster's job

• Inspect the property damage and document the scope of loss
• Prepare a repair/rebuild estimate using industry software (usually Xactimate)
• Determine the payout amount based on your policy terms
• Coordinate payment releases — both initial and supplemental

Your job as the policyholder

• Provide access to the property for inspection
• Submit your personal property inventory (contents list)
• Gather and submit documentation — receipts, photos, appraisals
• Review every estimate and payout for accuracy
• File your proof of loss on time
• Track your ALE expenses with receipts

3. Documentation That Protects Your Settlement

Good documentation is the single biggest factor in getting a fair settlement. The families who recover the most are not the ones who argue the loudest — they are the ones with the best records.

Photos and video

• Photograph every room from multiple angles before anything is moved or cleaned
• Capture close-ups of specific damage — charring, smoke staining, water damage from suppression
• Video walkthroughs are even better. Narrate as you go: "This is the master bedroom, the ceiling is collapsed, the carpet is soaked from the hose lines"
• Photograph labels, model numbers, and serial numbers on damaged appliances and electronics

Receipts and financial records

• Original purchase receipts for high-value items (jewelry, electronics, furniture)
• Credit card and bank statements showing past purchases
• Appraisals for jewelry, art, antiques, or collectibles
• All ALE receipts — hotel bills, restaurant meals, temporary rental agreements

Communication records

• Save every email to and from your insurance company
• Log every phone call with date, time, person's name, and a brief summary
• Keep copies of every form you sign or submit
• If you get verbal promises, follow up with an email: "Per our conversation today, you confirmed that..."

Our free tools page includes resources to help you organize your contents inventory and track expenses.

4. Additional Living Expenses (ALE) Explained

If your home is uninhabitable after a fire, your homeowner's policy almost certainly includes ALE coverage (also called "Loss of Use" or Coverage D). This pays for the increased cost of living while your home is being repaired.

What ALE covers

• Temporary housing — hotel, short-term rental, or apartment. The insurer pays the difference between your normal housing cost and the temporary housing cost.
• Meals — restaurant and takeout costs above your normal food budget (not your entire grocery bill, just the increase).
• Laundry and dry cleaning — if you no longer have access to your washer/dryer.
• Pet boarding or pet-friendly housing upgrades
• Additional commuting costs — if the temporary housing adds mileage to your daily commute.
• Storage fees — for salvageable belongings that need to be stored during repairs.

What ALE does not cover

• Your normal mortgage or rent payment
• Normal grocery costs you would have spent anyway
• Upgrades to your temporary lifestyle (a luxury hotel when a comparable apartment is available)

How to claim ALE

Submit ALE receipts to your adjuster on a regular basis — monthly is typical. Include a simple spreadsheet showing the date, vendor, amount, and category for each expense. Your insurer may provide their own form, but a clean spreadsheet with attached receipts works just as well.

5. Recoverable Depreciation — the Money Most Families Leave on the Table

This is the part of the claim process that costs Arizona homeowners the most money, simply because many people do not know it exists.

How it works

Your insurance policy likely provides Replacement Cost Value (RCV) coverage. Here is how the payout works in two stages:

1. Initial payment (ACV). The insurer pays you the Actual Cash Value — what your property is worth today, after depreciation. A 5-year-old couch that cost $2,000 new might have an ACV of $1,200.
2. Recoverable depreciation payment. After you actually replace the couch (or complete the repairs), you submit the receipt. The insurer then pays you the remaining $800 — the depreciation they held back.

How much money are we talking about?

On a typical fire loss, recoverable depreciation can represent 20-40% of the total contents settlement. On a $50,000 contents claim, that could be $10,000 to $20,000 that belongs to you — if you do the paperwork.

Tips to maximize recovery

• Review your adjuster's depreciation schedule carefully. Are the ages and conditions accurate?
• Replace items and submit receipts as you go — do not wait until the deadline
• You do not have to buy the exact same item. You can replace a Samsung TV with an LG TV. The insurer pays up to the approved amount.
• Check your policy for the recoverable depreciation deadline. Set a calendar reminder 30 days before it expires.

6. When to Consider a Public Adjuster

A public adjuster is a licensed professional who works for you — the policyholder — not the insurance company. They inspect the damage, prepare their own estimate, and negotiate with the insurer on your behalf.

When it makes sense

• Large losses (over $50,000). The more money at stake, the more a professional advocate can recover above their fee.
• Complex claims. Structural damage, smoke damage across multiple rooms, business interruption, or code upgrade requirements.
• Disputed claims. If the insurer's estimate seems significantly low and you cannot resolve it through normal negotiation.
• You are overwhelmed. Managing a fire claim on top of displacement, work, and family is genuinely hard. A public adjuster takes the claim process off your plate.

What it costs

Public adjusters in Arizona typically charge 5-15% of the settlement amount. On a $100,000 claim, that is $5,000 to $15,000. The value proposition is straightforward: if they increase your settlement by more than their fee, it is worth it. Ask for references and verify their Arizona Department of Insurance license before signing.

7. Common Mistakes That Cost Homeowners Money

After working with hundreds of fire-affected families across the East Valley, these are the patterns we see again and again.

1. Throwing away damaged items before the adjuster sees them.

   We understand the impulse to clean up. But the adjuster needs to verify the loss. Photograph everything first, and keep damaged items until your adjuster gives you the green light to dispose of them.

2. Accepting the first offer without reviewing it.

   The initial estimate is a starting point. Review every line item. Get your own contractor estimates. If numbers seem low, present your evidence and negotiate. This is normal — adjusters expect it.

3. Not claiming recoverable depreciation.

   As covered above, this is potentially tens of thousands of dollars. Replace items, submit receipts, and request the depreciation holdback before your deadline.

4. Failing to track ALE expenses.

   Without receipts, you cannot recover these costs. Save everything from day one.

5. Not reading your actual policy.

   Your policy is a contract. The declarations page tells you your coverage limits, deductible, and ALE limit. Read it — or have someone read it with you — before you start negotiating.

6. Missing deadlines.

   Proof of loss deadlines, recoverable depreciation deadlines, and supplemental claim deadlines are real. Put them on your calendar with reminders.

7. Signing a contractor agreement before reading it.

   Some restoration companies include an "assignment of benefits" clause that transfers your insurance rights to the contractor. Read every document before signing.