Los Angeles Wildfire Impact
In 2025, fires in densely populated areas such as Los Angeles led to record financial losses. Despite a relatively small area of 90 square miles being affected, the wildfires were the most economically damaging in history. At least 31 people died, and over 150,000 were displaced.
Global Losses
A new analysis suggests that these fires, along with severe blazes in South Korea and Spain, resulted in worldwide losses amounting to at least $54 billion. This figure represents the highest insured losses on record. However, indirect losses like missed workdays, business closures, and increased healthcare demands are not accounted for.
Economic Estimates
The study estimates that when considering indirect losses, the fires in Los Angeles add at least $100 billion to global losses. Researchers used data from the EM-DAT database to gather information on the wildfire’s area and damage during 2025. Although the picture is incomplete, it offers policymakers and researchers minimum estimates of damage from various disasters.
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