During the holiday season, the blog will be taking a brief break so as to allow staff to focus hard on insurance cases coming in before the calendar year ends. The blog will resume in early 2009 with new and helpful information on hurricane and other damage-related insurance claims for Louisiana and Texas residents, as well as those living elsewhere on the Gulf Coast.
Have a Great Holiday season and see you in '09!
Home deterioration can happen anywhere as a result of the natural climate and conditions that exist in the Gulf Coast. Whether it is the ceiling caving in or holes emerging in the floor, various different calamities can develop in your home that require action and repair. Under Texas law it is very important to understand exactly what the law says about what your Homeowners Insurance will and will not cover in the event things in your home begin to fall apart.
Under Homeowners Insurance Form A and B in Texas, deterioration that comes from within the home's condition itself is not covered. Specifically, Exclusion 1(f)(1) excludes losses caused by "wear and tear, deterioration or loss caused by any quality in property that causes it to damage or destroy itself." This type of loss specifically relates to a loss brought about entirely by internal decomposition or some quality of the property that brings about damage independently.
What this means to you is simple: allowing any condition in your home to go unrepaired and untreated may lead to even more significant damage to your home than what existed before. Getting a jump on a water leak or damaged foundation may be the difference between having a claim and having the insurance claim denied under this Exclusion.
Continue reading " What You Need to Know About Homeowner's Exceptions (Deterioration) " »
Homeowner's Insurance is a necessity for many Texas residents worried about the heavy winds that can come through the area and damage homes. Wind damage is a very specific claim under Homeowner's Insurance that can be easily recorded and claimed in many cases. However, with Homeowner's Form B insurance in Texas, not every claim is covered outside of a very specific list.
While Homeowners Insurance Form B is the most frequently sold Homeowners policy in Texas, the fact it provides coverage on an "all-risk" basis does not mean it covers everything. In fact, Form B Homeowners Insurance in Texas only covers the following:
fire and lightning, sudden and accidental damage from smoke, windstorm, hurricane and hail, explosion, aircrafts and vehicles, vandalism and malicious mischief, riot and civil commotion, collapse of building or any part of the building, accidental discharge, leakage or overflow of water or steam from within a plumbing, heating or air-conditioning system or household appliance, falling objects, freezing of household appliances and theft.
Very absent from this list is, of course, flood protection.
Homeowners Insurance is essential for the peace of mind Texas residents are looking for in the midst of adverse weather. Flood protection, though, is an additional insurance necessary should water cause damage without being the direct result of a home collapse or wind destruction.
Continue reading " Understanding Texas Home Insurance Plans (Form B) " »
When getting Homeowners Insurance in the state of Texas, it is important to understand just what is, and is not, covered by these policies. While agents might be eager to assure you that any accident or damage can be quickly claimed under Homeowners Insurance policies, citizens in Texas found themselves out of luck in the wake of Hurricane Gustav. Instead of hoping that your protection is all you need it to, get informed about your policy.
Under Texas Law, there are two very specific types of Homeowners Insurance - Form A and Form B. With these types of policies, the exclusions to coverage are what is important to point out.
Under Form A Homeowners Insurance, the following incidences are covered:
fire and lightning, sudden and accidental damage from smoke, windstorm, hurricane and hail, explosion, aircraft and vehicles, vandalism and malicious mischief, riot and civil commotion, and theft. Form A does not, however, cover losses caused by a "flood," surface water or the overflow of streams or lakes. This means that while your homeowner's insurance would cover a plane crashing into your home, it will not cover any damages the Colorado River could cause if it overflowed.
Homeowner's Form A insurance is a great policy to have for Texas residents hoping to protect their home from a Christmas fire or the torrents of hurricane wind. However, Form A, as noted, is not enough coverage to protect your home in the event of the very types of flooding that Texas saw during Hurricane Gustav.
Continue reading " Understanding Texas Home Insurance Plans (Form A) " »
Saving money when buying home insurance is often essential for Louisiana residents looking for the best coverage for the most reasonable rate. The Gulf Coast's recent struggle with hurricanes has made it even more evident just how important sound, proper insurance coverage is for resident's homes. Hurricane Katrina's damage was unfathomable to many and Hurricanes Ike and Gustav were even able to catch some Louisiana residents offguard. Coverage for storm damage is essential and there are several things you can do to save on your home's monthly insurance payment.
Raising your deductible on your home's insurance coverage is often a surefire way to lower monthly dues. Using one insurance provider for all of the various coverage aspects you are looking to get for your house is also a way to get appreciable savings. An exhaustive search of all of the various resources for insurance is an excellent way to make sure your price quote is the best available. Searching online and making phone calls to agents in your area could save you hundreds of dollars monthly. Protection systems like flood doors and alarms can also raise your property value and lower your premiums.
Continue reading " How to Save Money on your Home Insurance Deductible " »
When buying insurance, it is often hard for homeowners to know if they are buying too much or too little. When asking an agent, people expect and appreciate candor and honesty when it comes to know how much insurance is necessary to protect their home. This trust that is placed into an agent's skill and honesty is one that must be respected by the agent but also inspected and checked by the client.
When getting an insurance plan, requesting a second opinion from another agent or insurance company is a safe way to not only guarantee that you are getting the best rate but also the coverage you need. It will also confirm or deny the claims of another agent regarding what best suits your needs. After Katrina and many other hurricanes and tropical storms, lawsuits come to the public's attention where an agent assured their client that hurricane damage would be covered under the homeowner's insurance in place. This, however, is often not the case and leaves the homeowner out to dry.
In the Louisiana case of Schwartz v. Chubb & Sons Inc., the courts dealt with a similar issue of when the time for filing suit against an insurance agent who commits such misdirection expires. The courts in this case held that many current laws may be extended when an agent's misinformation regarding coverage is damaging to the home owner.
Whether in the process of purchasing insurance or simply checking the plan in place, it is important to not only document what the agent states regarding coverage but also read the language yourself. A homeowner would much rather be properly protected before something happens to their home rather than have to go to court to get the financial compensation they require.
Continue reading " Protecting Yourself From Inadequate Insurance Coverage " »
The law of Louisiana is very clear about its desire to protect the people from insurance companies and agents with bad intentions. All insurance agencies, whether Allstate, State Farm, or others, are governed by the law to be honest and clear about their policies. While the state would like it so that there was nothing to protect home owners from, there are certain laws and safeguards so that wrong can be undone.
Under Louisiana law, there is a specific fiduciary duty owed to homeowners by their insurance agent. What this means is that the agent is expected and required, by law, to work honestly and openly with his or her clients. If an insurance agent breaches this liability, the client may hold them liable and sue in court. Liability will be held if the client can prove an agreement to purchase insurance, failure of the agent to reasonably use diligence and that the agents actions led the client to believe he or she was properly insured. Thus, if your insurance agent led you to believe you had coverage that they then deny you on a claim, a lawsuit is possible.
While every case is different and the law can be complicated, keeping complete records of your conversations and exchanges with your insurance agent can help should the worst happen and your claim is rejected. Being careful and meticulous with your insurance can help keep a mistake from occurring or help you win litigation down the road.
Continue reading " What Your Insurance Agent Owes YOU " »
Texas drivers often have to worry about getting into an accident with uninsured drivers and all of the financial difficulties that come with the repairs and any injuries that result. Those with Uninsured/Underinsured Motorist Coverage purchase these policies in order to be protected from such possible problems. These policies (UM/UIM) work to insure the victim of a motor vehicle accident that if the other driver was not insured or insured adequately, they will receive up to the amount of damages they would have been able to collect from the person had they been insured.
With UM/UIM coverage, the basic requirement is that the injuries and damages arise from a motor vehicle accident. The state has held that incidences like drive-by shootings or contact with city property do not qualify as compared to simple fender-benders or collisions. However, what is included through UM/UIM coverage is hit and run collisions where the vehicle's operator or owner cannot be identified. This specific inclusion of unknown perpetrators nets for policy owners a halo of protection that involves almost every vehicle on the road.
Whether driving in Houston or Riverside, Texas, auto insurance and coverage is crucial to guarantee that, when an accident occurs, your vehicle can be fixed and any injuries can be paid for. In the event that the person whose car hits you is either underinsured, not insured at all or unknown, UM/UIM insurance works to protect drivers.
Continue reading " Car Insurance For The Worst-Case Scenario " »
In November of 2007, the Louisiana State Attorney General levied a suit against insurance providers in the Gulf Coast related to Hurricane Katrina business practices. The charges, including antitrust, collusion and price fixing violations, dealt with a system of claim denials that looked to take advantage of the confusion natural disasters create. What's more, such a suit proves that while the government is able to inspect a series of complaints and practices, each individual needs help to make sure they do not get lost in the masses.
The lawsuit, levied against six major insurance companies, including State Farm and All State, struck at the big business policies of intentionally going after those policy holders who stood up and demanded more when their claim was given an inadequate financial value. The lawsuit stated the insurance providers coerced their policyholders into settling their claims of damages for less than their value by editing engineering reports, by delaying payment and by forcing policyholders to litigate claims to receive full value.
Happening as recently as 2007, fraud on the part of insurance companies should be a real concern for any policy holder looking to make a claim on damage. While not every insurance provider is dishonest or difficult in the event of a claim, protecting yourself in the event that one does is a solid strategy to avoid problems in the future. Always make sure to have your claim and the insurance company's offer inspected by a contractor to guarantee a settlement will give you the financial settlement you need and deserve.
Continue reading " Hurricane Katrina Fraud Can Happen Again " »
Insurance fraud is something everyone is aware of and leads to significantly higher premiums for anyone looking for protection. What the insurance companies do not talk about, though, is the very insurance fraud that goes on within the industry itself. While companies may drag their feet or act in bad faith in delaying payments or sending inspectors to the homes of policy owners, there are some very serious actions that have gone on that require policy holders to remain vigilant in their claims.
In a case relating to the 1994 Northridge earthquake in California, State Farm agents, according to the testimony of one of the company's former employees, tried to avoid paying insurance claims to victims through forged signatures and altering documents to make it appear earthquake damage had been declined by policyholders. An investigation by a tv station in San Francisco in 1997 showed the company had also gone so far as to delay inspections and lower the value of claims of those individuals who took action against the company because of these delays. These acts of explicit fraud and malice by State Farm serve as an example of how policy holders must remain ever vigilant when it comes to their policies and insurance protection especially as they can happen anywhere.
Hitting closer to home, on May 2 of 2003, a Metairie insurance agent was shut down for forgery and misappropriation of insurance premiums, the third in four days. On June 27, 2005, another agent from Lafayette pled guilty to theft after pocketing premiums on insurance payments rather than sending them to the companies. These instances prove how important it is to make sure with the company you are buying insurance from that payments are received and coverage is verified.
These aforementioned examples of fraud are neither the exception nor the rule, but, instead, demonstrate why insurance policy holders in the Gulf Shore and elsewhere must remain ever vigilant on their claims of damages with insurance companies. Keep close records and copies of all of your insurance information and all documentation and pictures you have of the damage you are making a claim to your insurance company for.
Continue reading " How Insurance Companies Could Defraud You " »
Personal Injury Protection (PIP) automobile coverage in the state of Texas is a common insurance agreement in which the carrier will pay benefits to the policy holder because of "bodily injury resulting from a motor vehicle accident and sustained by a covered person." Thus, helping someone financially who has been in a car accident that causes someone to be hurt is the general idea behind PIP benefits. Accidents have been strictly defined to be only those incidences directly relating to injuries coming as a result of the use of a motor vehicle. Those covered include the policy holder and any family member who was in or was struck by the vehicle.
The benefits entitled to an injured individual include reasonable expenses incurred for necessary medical and funeral services. PIP also includes the replacement of 80% of income lost during the period of disability up to the policy limits. PIP can also include, for those unemployed, expenses incurred for obtaining services that the covered person would have performed had they not been injured.
As a whole, PIP benefits relating to car accidents are pretty clear and supportive of policy holders. There are very few exclusions to PIP coverage except to remove from protection those accidents that are not related to driving a motor vehicle, i.e. breaking your ankle getting out of the car.
Continue reading " How Texas' Personal Injury Protection Protects You " »
The recent series of storms to come through the Gulf region have caught even some of the most seasoned residents off-guard when it comes to making insurance claims. In the wake of these storms, Texas residents statewide have encountered a wide variety of problems when making their claims. It's important to understand the state laws that fall into play when making your damage claim in order to make sure you get everything entitled to you from your insurance company.
First, under Texas law, insurance companies normally have 15 days to begin their investigations to a policyholder's damages claim. However, in the event of a natural disaster like a hurricane, Texas' insurance department can extend this deadline to 30 days. While investigations may take as long as the insurance company sees fit, the company has 15 days to make a decision regarding the claim (30 days in the event of a natural disaster). In the events of an accepted claim, payment is to be made within five days.
When making your claim, make sure to maintain a journal or diary of dates related to what you send your insurance company. Keep a copy of every correspondence for your records and make sure to follow up quickly with any information requests the insurance company may send you.
Continue reading " Insurance Companies Have To Follow The Rules Too! " »
The people of the Gulf Coast are well aware that hurricanes of all different intensities come and go through the region every summer. A Hurricane Checklist for anyone, whether you live in Houston, Galveston or Corpus Christi, Texas residents should have a list of things they do in the event of a hurricane.
One of those things involves having your insurance policy in duplicate, with one copy in a secure location and another in hand. With this preparation, delays in your policy claim can be prevented. Another thing to keep near in the event of a storm is a disposable camera. Just as car owners like to keep one in their glove compartment in the event of an accident, having a disposable camera to take immediate pictures of your damage can be another way to get your claim in as soon as possible.
A third thing to do to prepare for an insurance claim in the event of a natural disaster is to annually inspect your insurance coverage and even speak with an agent to review what damage you are and are not protected by. Such a review and conversation can help you know exactly what you are covered for and help you become more familiar with the language and/or agent involved with your insurance plan.
With talks that Gustav insured damage could total from $4 to $10 billion dollars, insurance claims from the state of Texas will be numerous and complicated. With Hurricanes Ike and Dolly also causing damage in the state, there are a lot of people reaching out to their insurance companies for their home damage.
Continue reading " A Hurricane Checklist To Make Sure You're Prepared " »
The extreme damage incurred by the Galveston area is only now being comprehended over two months after Hurricane Ike. Recovery efforts are underway but the immediate steps to be undertaken in the event of damage to your home are crucial and need to be handled with care. If you live in the Gulf Coast area and have to deal with a damaging tropical storm or hurricane, whether you are in Corpus Christi or Lafayette, there are a series of things you must do in the aftermath. Here are some hurricane recovery tips:
In the event of a hurricane or extreme damage to your home, do not risk electrocution. Check electronic equipment for water damage and watch for damaged power lines. Open all of your home's doors and windows to let air in and ventilate the area. Use bottled water and throw away any food and condiments that may have gone bad in the refrigerator if the power went out for an extended period of time.
When it comes to damage to your home and property, only make temporary fixes that will later be fixed using your insurance settlement. Doing so will allow the insurance company's inspector to see the full extent of the damage and help you with your overall claim. After a storm, contact your insurance agent as soon as possible, photograph damage and keep all receipts and detailed records of your costs. FEMA assistance can be received by calling 1-800-621-FEMA (3362) or by going to www.FEMA.gov.
The Texas Department of Insurance (TDI) has created a series of tips for homeowners in the state looking to make a claim after the recent series of storms in the Gulf. While each storm may lead to significantly different issues, there are several things the state recommends with any claim:
1. Develop an organized and itemized list of the property damaged and visually record the damage if it is possible. This will help speed the claims process.
2. Attempt to make appropriate temporary fixes and repairs so as to keep your property and home from any further harm from the elements. Make only temporary fixes until the insurance company's claims adjusters can assess the damage. Record all expenses incurred by repairs through receipts and other means.
3. Be on the property or at home when the insurance company visits to assess the damages being claimed. Having a contractor available during the inspection or when you receive the adjuster's claim is also encouraged.
Following these guidelines will help make sure that you are sufficiently prepared in the event of storm damage. If you have problems with your insurance company, call TDI's Consumer Help Line toll-free at 1-800-252-3439.
Continue reading " The Texas Department of Insurance's Tips on Storm Recovery " »
Annually, it is recommended for anyone living in the Gulf Coast area to do a full inspection of their insurance coverage. While people are often meticulous with their car insurance and its coverage, home owners insurance can be a confusing and daunting set of documents to review and even understand. However, a solid review of your plan's limits and extents will help you be prepared should damage come to your home.
Periodically reviewing your coverage helps guarantee you have the protection you need in the right areas. These reviews can coincide with the renewal of your insurance or at the time in which you purchase significant enhancements or items for your home that change its value. Reviewing can be as simple as re-reading the literature provided that summarizes your coverage but can, and should, also include a call to your insurance agent. Simply asking your agent to go over your homeowners, damage protection and other insurance provisions can help you get a concise and clear idea of what your insurance will protect you from.
Feel free to have a frank and honest conversation with your agent about if the coverage on your home is adequate or if it needs to be adjusted based upon the value of those things being protected. Such a conversation keeps you from finding out that your recent boat purchase or the deck improvement that increased your home's value are not covered.
By reviewing your insurance coverage and talking with an agent, disputes that may arise should damage occur that you must make a claim on may be avoided.
Continue reading " Annual Car Insurance Reviews Could Save You Plenty " »
Dealing with hurricane and other forms of severe weather damage can be a truly confusing and stressful time for homeowners. Figuring out the best contractor to fix the work, temporary fixes for the damage, however severe, and moving on with life are all dilemmas people have to deal with in the face of such disasters. What makes things worse, however, is when insurance companies make it difficult to make a claim.
One of the most common ways in which insurance companies deny claims for righteous hurricane or storm damage is blaming the damage on wind or flooding, depending on coverage. In numerous cases post-Katrina insurance companies like Allstate and State Farm denied a claim of wind damage relief because the true damage was caused by flooding. The courts, though, have found that any flooding that comes as a result of damage caused by wind is thereby covered under a wind damage claim. That is to say, for example, if wind damage caves in your roof, all of the rain and water damage that results from the broken roof is covered.
The courts have further held that concurrent causation clauses like State Farm's are capable of being knocked down because of the close proximity of damages. The overriding principle for homeowners to keep in mind is that if they can prove the wind damaged something, coverage by the homeowners wind policy should cover the damage, even if the flood came through afterwards and destroyed the home. The difficulty comes in to cases such as this, though, in the expert testimony and the proof claimants must provide that the wind came first.
When dealing with your denied claim in which your insurance provider is denying coverage on the basis of wind vs. flood causation, it is important to have the experts necessary to prove your case. The Berniard Law Firm knows all of the best experts to refute the insurance company's claims that the flood came first. Excellent legal council, coupled with the experts that can tell the court exactly why you deserve your claim, can be the difference between rebuilding your life with help or rebuilding from scratch.
Continue reading " Don't Be Left Out To Dry On Wind vs. Flood Damage Disputes " »
The loss of one's vehicle to any sort of calamity is a stressful and difficult event for anyone. When this loss occurs amidst a natural disaster, such a loss can feel completely overwhelming. What can make it even worse is when the insurance company drags their feet in paying you the very money you deserve. The law, however, protects the people from insurance companies dragging their feet and does so with strict penalties for such delays.
In the event of the inaction of an insurer that leads to deprivation of the use of a personal vehicle for more than five working days (excluding weekends and holidays), the insured party is entitled to any legally reasonable expenses that resulted during the entire period of time the claimant is without the vehicle. If the insurance company fails to pay this within 30 days of a claim that the insured is without the use of the vehicle, and the failure is deemed arbitrary, capricious or without probably cause, an additional penalty not to exceed 10 percent of reasonable expenses, or $1000, whichever is greater, will be tacked onto the claim with attorneys fees.
What this means is that, with a speedy claim and consistent effort to stay in line with deadlines and paperwork, the law protects Louisiana citizens from becoming overwhelmed in the event of a catastrophe.
Continue reading " Get the Car Insurance Claim You Are Owed! " »
When working on an insurance claim for damages incurred for any set of reasons, it is important for Louisiana citizens to remember that while the insurance companies might not respect them, the law does. Louisiana law includes various different provisions to prevent insurers from taking advantage of policy holders and it is important for people to know their rights.
Louisiana law mandates a good faith effort on the part of insurance companies to their policy holders. This includes adjusting claims fairly, promptly and to make a reasonable effort to make settlements with the claimant or insured. Insurance companies violate this law when they
1. Misrepresent policy provisions or facts relating to a holder's coverage.
2. Take longer than 30 days to pay a settlement after a written agreement is met.
3. Attempt to settle or deny coverage to a claim that was modified without knowledge or consent by the insured.
4. Lie or mislead a claimant as to the prescriptive period of a claim.
5. Fail to pay any claim due to an insurance holder within 60 days after they receive a satisfactory proof of loss from the holder when failing to do so is arbitrary or without probable cause.
If an insurance company is held liable for any of these violations, a policy holder may be rewarded financial damages of significant value. This money is in addition to the settlement already made.
Continue reading " How to Avoid Insurance Company Bullying " »
Jim Brown of WNRO in Baton Rouge, Louisiana, recently brought to light in an October 23, 2008, posting that the recent economic downturn felt by citizens nationwide and subsequent national buyout has very specific ramifications on the people of this state. This insurance squeeze will be sure to be felt by citizens of Louisiana as the cost of the buyout falls upon the American people to pay. The recent buyout of AIG cost the average American family of four $1200 and yet there seems to be no end in sight to the pinch insurance holders feel each time they make a claim on their policies.
What's more, as Louisiana has no consumer protection agency to operate as a state oversight of insurance companies and their activities, the average policy holder has no governmental body to rely upon to watch over these companies. During Congressional hearings regarding the economic bailout, it was discovered that AIG executives had withheld and hid the financial risks being taken from federal auditors when the company began headed into a downtrurn. With executives going on $400,000+ retreats in the face of economic crisis, there appears to be no responsibility or restraint demonstrated by insurance companies like AIG.
Because of this sad state of affairs, it is even more important and relevant for insurance claimants to remain vigilant on their claims and policies. Whether dealing with a Home Owner's, Mold Damage, Personal Injury or various other insurance claim you may be forced to deal with, it is crucial to have the representation necessary to protect your rights against insurance companies.
Continue reading " The Buyout's Pinch on Louisiana Homeowners " »
