May marks National Wildfire Awareness Month — a timely reminder as communities brace for another intense fire season. This year began with a devastating preview: the Palisades and Eaton Fires destroyed more than 12,000 structures in southern California, with economic losses now estimated above $250 billion.
Last year, wildfire smoke blanketed parts of California for 118 straight days, while more than 11 million acres burned nationwide, causing nearly $20 billion in damage. For the insurance industry, it was a wake-up call: reacting after the fact isn’t enough.
Fires today are more intense and unpredictable than ever. According to Munich Re, wildfire-related losses have shot up over 400% in the past decade. In California alone, over 235,000 homeowners have received insurance cancellations. With risks that high, some insurers are pulling out entirely. Others are rethinking how they operate.
"For decades, we sat back and waited for disaster to strike,” said Jennifer Torres, former Chief Risk Officer at Pacific Shield Insurance. “That playbook is out the window.”
Insurers today are using drones, wind modeling and brush clearance data to assess risks firsthand. They’re even inspecting homes in person to identify vulnerabilities like flammable landscaping or outdated building materials. The strategy is paying off.
Research shows that every $1 spent on wildfire mitigation can save up to $7 in future claims. As fire risks increase, insurers are putting more resources into both prevention and the tech tools needed to make it work.
Montana’s Big Sky and Yellowstone Club have installed high-tech cameras from Pano AI. These cameras detect smoke in real time and alert fire crews, often before anyone on the ground even knows there’s a problem.
“That 12-hour head start can be the difference between a manageable fire and a full-blown disaster,” says says Kevin German, Vice President of Development at Lone Mountain Land Company (LMLC). LMLC develops and manages property in Moonlight Basin, Spanish Peak, and Yellowstone Club, in addition to Big Sky town center, community housing, and Crazy Mountain Ranch.
Pano AI detected over 100 early-stage vegetation fires across the U.S. during the 2024 fire season. In one case—the Wellington Fire in Colorado—the system alerted responders 21 minutes before the official dispatch system was activated. That head start gave fire crews enough time to contain the blaze to a quarter-acre. In wildfire response, saving even a few minutes can mean the difference between a small fire and a major disaster.
“Wildfire detection used to mean waiting for smoke to be visible on the horizon,” said Arvind Satyam, chief commercial officer of Pano AI. “Today, we’re giving fire crews real-time intelligence—so they can act earlier, faster, safer, and with more precision. That shift is not just changing outcomes; it’s saving lives and protecting property.”
“Early smoke detection is a game-changer,” said Jeff Kaplan, senior vice president at Brown & Brown. “We’ve had situations with our clients where Pano AI gave us nearly an hour’s notice. That’s a lifetime during a fast-moving fire.”
Real-world results are already clear. In Placerville, Calif., Liberty Mutual partnered with Ember Defense to install ember-resistant vents and sprinklers on Mike Sullivan’s home free of charge. When the Caldor Fire roared through the area, the system activated remotely, soaking his property. His home survived; three of his neighbors’ didn’t. Liberty Mutual’s pilot has seen a 63% drop in fire-related losses.
On a larger scale, wildfire mitigation programs are increasing to cover much wider areas. In Oregon, Pano AI’s detection systems — rolled out in partnership with electric utility Portland General Electric — frequently spot fires faster than human lookouts or 911 calls and are now protecting four high-risk counties.
Insurers are also starting to offer homeowners financial incentives. Discounts of 5–25% may be available for those who install recommended fire defenses, and participation is growing rapidly. More fundamentally, insurers are now embedding wildfire resilience into long-term planning.
“Long-term, we want wildfire scoring systems to credit communities that invest in detection and mitigation,” Kaplan from Brown & Brown says. “It’s better for everyone.”
Cross-sector collaboration is making it all possible. Fire departments and insurers now share data, train together and plan side by side. Utility companies, building officials and tech developers are joining in, too, helping update codes, improve infrastructure and deploy smarter tools. Brown & Brown is embedding staff directly in local fire planning efforts, moving beyond policy sales to become partners in community resilience.
The benefits of early detection came into sharp focus during the Bear Creek Fire in Douglas County, Colorado, in 2024. After a lightning strike ignited a blaze in remote, rugged terrain, Pano AI’s system detected the smoke, triangulated the coordinates, and delivered real-time video to utility operators and emergency managers—enabling a swift response.
Fire crews were able to contain the fire before it spread widely, averting what could have become a fast-moving and dangerous wildfire. In a region where dry conditions and high winds can turn small ignitions into major disasters, that kind of head start proved critical.
No single player can tackle the wildfire crisis alone. But by breaking down silos and embracing innovation, insurance companies, firefighters and tech leaders are giving fire-prone communities a fighting chance to survive, adapt and thrive.
As fire seasons grow longer and more severe, property owners must navigate rising premiums, evolving underwriting standards, and more limited coverage availability in high-risk areas.
Working with experienced risk and insurance specialists can help property owners better assess wildfire exposure, strengthen their risk profile, and develop coverage strategies aligned with today’s evolving insurance market.
To connect with a personal insurance specialist at Brown & Brown, submit an inquiry form. You can also access our risk management and risk mitigation resources on our Personal Lines Risk Resources page.
Jeff Kaplan is Senior Vice President, Private Client Group, Brown & Brown, with more than 20 years of experience in property and casualty insurance. He leads a team serving Ultra-High-Net-Worth, High-Net-Worth, and Family Office clients, specializing in complex risk management and mitigation strategies for large property portfolios, catastrophe- and fire-prone areas, maritime, aviation, and fine arts exposures. Jeff advises clients with assets across the U.S. and globally, including high-value residences and significant special collections. He holds the Certified Advisor of Personal Insurance (CAPI) designation, underscoring his expertise in serving affluent and multi-generational clients.
Arvind Satyam is the Chief Commercial Officer & Co-Founder of Pano AI, the leader in wildfire early detection. He is responsible for the company’s go-to-market strategy, overseeing sales, marketing, customer success, partnerships, and regulatory engagement. Prior to Pano AI, Arvind held senior leadership roles at Cisco, where he led business development for the $13B Public Sector.
Photos provided by Pano AI.