SAN DIEGO -- Sempra Energy, which owns San Diego Gas & Electric Co., is close to reaching a $900 million settlement with insurance companies over the wildfires that burned through the county in 2007, it was reported Wednesday.

The money will come from Sempra's $1.1 billion insurance coverage and go to insurers seeking to recover some of the money they paid to clients who lost their homes, businesses and farms, The San Diego Union-Tribune reported.

Three of the worst wildfires that swept through the county in October 2007 -- the Witch Creek, Guejito and Rice Canyon fires -- were caused by SDG&E power lines malfunctioning during Santa Ana winds, according to separate investigations by Cal Fire and the California Public Utilities Commission.

Two people were killed and more than 1,300 homes were destroyed in the Witch Creek, Guejito and Rice Canyon fires.

A hearing has been scheduled for Thursday in San Diego Superior Court to deal with issues surrounding the potential settlement. Attorneys representing individual fire victims are concerned that there won't be enough money left for their clients if a settlement between Sempra and the insurers is finalized, the Union-Tribune reported.

"We don't think this settlement does anything good," Steven Kane, who represents about 50 victims, some of whom were uninsured, told the newspaper. "It is our position that the (homeowners) are first in line and the insurance companies should be second in line."