AM Best expects insured losses from the California wildfires to be significant, with more-concentrated individual insurers likely to be more negatively impacted. However, the longer-term impact on the state's market also may be substantial as insurers will further re-examine their appetites for wildfire risk as it has become highly unpredictable with respect to location,

Insurers are bracing for losses of as much as $20bn from wildfires in Los Angeles after blazes ravaged some of the most exclusive neighbourhoods in California, according to early estimates from analysts.