ALTADENA, CALIFORNIA - JANUARY 08: Cars destroyed by the Eaton Fire sit in the parking area of a burned auto shop on January 08, 2025 in Altadena, California. Multiple wildfires fueled by intense Santa Ana Winds are burning across Los Angeles County. Two people have been killed, over 25,000 acres have burned, and 30,000 people have been evacuated. (Photo by Justin Sullivan/Getty Images)

Cars destroyed by the Eaton Fire sit in the parking area of a burned auto shop on Jan. 8, 2025 in Altadena, California.
Justin Sullivan | Getty Images

U.S. private forecaster AccuWeather said on Wednesday that estimated damage and economic loss from the California wildfire, already one of the worst in history, is over $50 billion at a preliminary level.

Raging wildfires in Los Angeles killed at least two people, destroyed hundreds of buildings and stretched firefighting resources and water supplies since they began on Tuesday, with fierce winds hindering firefighting operations and fueling the fires.

AccuWeather, which estimates the loss between $52 billion and $57 billion, added that if the fire spread to densely populated neighborhoods the current estimates for loss would have to be revised upward.

A damaged power pole is suspended over burning commercial properties during the Eaton fire in the Altadena area of Los Angeles County, California on January 8, 2025. At least five people are now known to have died in wildfires raging around Los Angeles, with more deaths feared, law enforcement said January 8, as terrifying blazes leveled whole streets, torching cars and houses in minutes. More than 1,000 buildings have burned in multiple wildfires that have erupted around America's second biggest city, forc

A damaged power pole is suspended over burning commercial properties during the Eaton fire in the Altadena area of Los Angeles County, California on Jan. 8, 2025.
Josh Edelson | AFP | Getty Images

“Should a large number of additional structures be burned in the coming days, it may become the worst wildfire in modern California history based on the number of structures burned and economic loss,” AccuWeather Chief Meteorologist Jonathan Porter said.

AccuWeather’s estimates for total damage and economic loss from the 2023 Maui wildfires were between $13 billion and $16 billion.

J.P. Morgan believes that insured losses originating from the wildfire could be around $10 billion, the brokerage firm said in a note.

“We expect a majority of the losses to be related to homeowners’ coverage and a significantly lesser amount to commercial,” they added.

A for sale sign remains as homes and cars smolder during the Eaton fire in the Altadena area of Los Angeles County, California on January 8, 2025. At least five people are now known to have died in wildfires raging around Los Angeles, with more deaths feared, law enforcement said January 8, as terrifying blazes leveled whole streets, torching cars and houses in minutes. More than 1,000 buildings have burned in multiple wildfires that have erupted around America's second biggest city, forcing tens of thousan

A for sale sign remains as homes and cars smolder during the Eaton fire in the Altadena area of Los Angeles County, California on Jan. 8, 2025.
Josh Edelson | AFP | Getty Images

Property consultant CoreLogic estimates that there are over 456,000 homes, with nearly $300 billion in reconstruction value, at moderate or greater risk within the Los Angeles and Riverside metropolitan areas.

However, this number represents the areas at risk in general and not linked to the ongoing fire event.