Is it possible to lose my current home if I lose a wrongful death lawsuit

Yes, it is a definite possibility. Unless you defend the lawsuit and are released or found not to be liable, a judgment could result against you, and if a judgment is obtained, in most states that acts as a lien against any real estate or other assets you own. The judgment can also be taken to any other state where you have assets and filed there (domesticated). You don't say what state you are in, there are some states, but not the majorit (Florida for example) where your homestead is protected from non purchase money liens in most circumstances.

I would suggest that that you see if you are entitled to a defense and/or coverage by the insurane company that provided the homeowners' insurance coverage on the house at the time of the fire. If that did not exist or refuses you coverage, check to see if you have any other insurance that would cover you.