New data shows wildfires inflicting record economic damage worldwide

Wildfire disasters becoming more severe globally

Wildfires are becoming more frequent, deadly and costly worldwide, according to a new study from the University of Tasmania published in the journal Science.

Researchers found that more than 43% of the costliest wildfire disasters since 1980 occurred in the past decade.

The study examined the 200 most damaging wildfire events relative to national gross domestic product (GDP), using data from the University of California, Merced, and insurer Munich Re.

Calum Cunningham, Research Fellow at the Fire Center at the University of Tasmania, said: “We’re now seeing societal effects of fire that are much larger than ever before, fueled by climate change.”

Billion-dollar wildfire events concentrated in past decade

The analysis identified 43 wildfire events since 1980 that generated direct losses of $1 billion or more.

Over half of those billion-dollar fires occurred in the past ten years.

Most of the costliest events were recorded in North America, where higher-value infrastructure and expanding urban development near wildlands increased exposure to loss.

According to the US Fire Administration, more than 60,000 communities in the US are now located in these at-risk zones.

The researchers noted that the frequency of billion-dollar fires has accelerated in parallel with worsening drought conditions and hotter temperatures.

Rising human impact and gaps in disaster planning

The study found that the frequency of deadly wildfires has increased alongside economic losses.

Cunningham said: “Fire disasters are not only influenced by climate change. They are also influenced by the way we manage built and natural environments.”

Researchers identified gaps in disaster adaptation, including communication and evacuation planning, as factors that continue to contribute to loss of life.

The study highlighted several high-impact fires from the past decade, including the 2016 fires in Canada, the 2017 California fires and the 2018 Camp Fire in Paradise, which killed 85 people and caused about $16 billion in losses.

In 2020, California wildfires produced an estimated $100 million in emissions damages.

The 2023 Lahaina fire in Hawaii killed 102 people.

The researchers noted that several recent events, including the 2024 Valparaiso fires in Chile and the early 2025 Los Angeles wildfires, were not included in the main dataset.

Cunningham said the Los Angeles fires were “literally off the charts,” generating around $65 billion in direct losses, more than double any previous wildfire disaster.

Relevance for fire and safety professionals

The findings provide updated evidence for fire and emergency management agencies, policy-makers and planners working on risk assessment, urban interface design and disaster readiness.

Understanding that nearly half of the world’s costliest wildfire events occurred in the past decade highlights the scale of adaptation needed to protect life and infrastructure.

For emergency managers and local authorities, the study reinforces the importance of coordinated evacuation planning, clear public communication and investment in community fire prevention systems.

Urban planners and building engineers can draw from the analysis when designing developments in wildland–urban interface areas where high-value assets and populations are most exposed.

The data also offers a basis for insurers and risk assessors to quantify emerging patterns of loss and support evidence-based policy responses.

This article was informed by information from the following source: Bloomberg

Eaton Fire lawsuit targets Southern California Edison over wildfire damage

Legal action taken over Eaton Fire destruction

KJT Law Group, in partnership with former Los Angeles District Attorney Steve Cooley and Parris Law Firm, has filed a mass tort lawsuit against Southern California Edison (SCE), alleging responsibility for the Eaton Fire.

The fire has destroyed over 7,000 structures and displaced thousands since it began on 7 January 2025. It has burned more than 14,000 acres and caused the deaths of 16 people.

According to KJT Law Group, eyewitnesses reported that the fire started near a power structure in Altadena. The firm alleges that SCE failed to take appropriate preventive measures despite forecasts of strong winds in the region.

Community impact and response

Residents in Altadena and Pasadena have faced widespread destruction and emergency evacuations.

An unnamed Altadena resident described the fire’s rapid spread: “The fire started towards the top of the mountain and rushed down so fast we didn’t have any time to think or pack anything. The majority of our street is burned to the ground and the street behind me has only two homes left. It’s heartbreaking.”

Thousands of individuals have been left without homes, with long-term recovery expected to take months or years.

Legal perspective on the claims

Caspar Jivalagian, a founding partner of KJT Law Group, commented on the firm’s motivation behind the lawsuit: “This is about accountability. We will not sit by without demanding answers on how this happened and why it wasn’t prevented – no matter who we are up against.”

Jivalagian also noted that the firm aims to support those affected: “We want everyone in Pasadena and Altadena to know that they are not alone. This is personal for us. We are going to do everything in our power to help those impacted – irrespective of their homeowner’s insurance.”

Wider concerns over California wildfires and insurance

The Eaton Fire is one of four major wildfires that have affected the Greater Los Angeles area in 2025, fuelled by strong Santa Ana winds.

The legal action comes amid growing concerns about fire insurance in California. Many residents lost coverage when insurers withdrew from the market, with some policies expiring at the end of 2024 without renewal options.

Eaton Fire lawsuit targets Southern California Edison over wildfire damage: Summary

KJT Law Group, in collaboration with former Los Angeles District Attorney Steve Cooley and Parris Law Firm, has filed a mass tort lawsuit against Southern California Edison. The lawsuit alleges that SCE is responsible for the Eaton Fire, which has destroyed over 7,000 structures, displaced thousands, and caused 16 deaths since it began on 7 January 2025.

Eyewitness reports suggest the fire originated near a power structure in Altadena. The lawsuit claims SCE did not take sufficient preventive measures despite forecasts of strong winds. Residents in Altadena and Pasadena have experienced widespread destruction and prolonged displacement.

The lawsuit is one of several legal challenges arising from wildfires in California. The Eaton Fire is among four major fires that have impacted the Greater Los Angeles area in 2025. Fire insurance coverage has also become a pressing issue, with many policies expiring at the end of 2024 without renewal options.