Insurance Dispute Lawyer Blog

According to a recent study run by researchers within New Orleans has found that, since Katrina, a significant number of heart-related emergencies and interventions have occurred.

NOLA.com reports

Researchers say chronic stress related to Hurricane Katrina has contributed to a significant increase in heart attacks in New Orleans. The study, which analyzed the number of heart attack patients admitted to Tulane Medical Center two years before the storm and two years after the hospital reopened, found a three-fold increase in heart attacks and a 120 percent increase in coronary interventions, such as angioplasty, after Katrina struck in August 2005.

The post-Katrina patients had significantly higher rates of unemployment, lack of medical insurance, medication noncompliance, smoking and substance abuse, Tulane University said in a release.

No doubt much of this stress can also be attributed to insurance companies and the difficulties many people have with them when trying to make claims go through. Trying to handle your claim and subsequent appeals without a legal expert can lead to a large amount of stress and may very well be a marked part of this population grouping. Regardless, these incidences are yet another effect from the hurricane(s) that had yet to be revealed until recently and is truly tragic.

In breaking news, Democratic Senators Bill Nelson of Florida and Mary Landrieu of Louisiana have called for initiating recalls on drywall originating in China. The South Florida Business Journal reports

Two U.S. senators are calling for a recall of high-sulfur Chinese drywall that is believed to be causing metal corrosion and an odor of rotten eggs in thousands of homes in the Southeast.

Sens. Bill Nelson of Florida and Mary Landrieu of Louisiana, both Democrats, said in a press release Monday that they filed new legislation aimed at initiating a recall and imposing an immediate ban on “tainted building products from China.”

The legislation comes as homeowner complaints mount in South Florida. Homes built by WCI Communities in Parkland are the subject of complaints.

Such a recall would be a very important step for homeowners to become more aware from their builders on what materials were used and for a system of responsibility to be established. It also shows that there's little to no dispute that the product is inherently flawed, as has been reported on the internet and on this blog. With the national attention this legislation will cause, it is only a matter of time for the full scope of this problem to become apparent and we will find out just how many people's homes have been affected.

If you believe your home may have been built, or rebuilt for that matter, using Chinese drywall, contact the builder or previous homeowner as well as the Berniard Law Firm to find out what actions are necessary to fix your home and be compensated for the problem.

WWL TV released a news bit last week that shows Louisiana is well aware of the Chinese drywall threat and are keeping track of complaints as they come in. Of note, the article quantifies just how much drywall may have come into the state for use in building homes to the tune of 60 million pounds:

NEW ORLEANS – Louisiana public health officials are tracking Chinese drywall that some say is ruining homes and making people sick.

Assistant State Health Secretary Dr. Rony Francois said according to some reports, as much as 60 million pounds of the product may have entered the state, enough for 7000 homes.

"The Chinese drywall was imported around 2004-2005 during a contruction boom which first occurred in Florida and then also here in Louisiana," Francois said.

Francois said right now, the state is trying to determine the exact contaminants.

It is a good indication that Louisiana officials are tracking reported cases and are looking to stay serious on the issue. The shocking element, though, is that up to 7000 homes could be contaminated by this hazardous material and that educating the public on "what that smell is" may be an essential step forward by the state. Either way, it is obvious that Chinese drywall was not isolated to Florida, where reports began to emerge but, rather, to the city of New Orleans and Louisiana at-large.

A YouTube video, embedded below, gives a quick two minute run-down of the Chinese Drywall issue and how it can effect homes and their residents. While it has a Florida focus, the same effects and problems are being reported in Louisiana and elsewhere.

While it's hard to tell what type of drywall was used in your home after everything is painted and the home is officially a "home," there are various health problems and symptoms that homeowners with drywall from China are experiencing. These symptoms include:

According to a home inspection report, Chinese drywall emits sulphide gases that are the source of health problems for homeowners, and that "these sulphide gases are also alleged to cause serious health conditions and illnesses, such as shortness of breath, dizziness, headaches, fatigue, insomnia, eye irritations and respiratory difficulties." That these gases are capable of corroding copper coils and irreparably damaging plumbing and electrical components shows that they are extremely toxic and powerful.

If you are suffering from any of these symptoms, contact a health professional immediately and consult with one of our attorneys to find out what legal remedies are available for this scenario.

The Florida Department of Health issued a report on Monday that confirmed what the media and homeowners have known for months: Chinese drywall is toxic.

Chinese drywall samples give off a sulfur odor when exposed to heat and moisture, according to a 66-page report released Monday by the Florida Department of Health.

The findings of the investigation, conducted by Unified Engineering, a private lab, will be detailed later Monday during a press conference by the department, which is analyzing drywall in response to a widening product liability crisis.

The lab tested one sample made in the U.S. by National Gypsum Co.’s GridMarx brand and three samples made in China.

“There is a distinct difference in drywall that was manufactured in the United States and those that were manufactured in China,” said Lori Streit, a principal scientist with Unified, in a letter. “The Chinese samples contained traces of strontium sulfide inclusions and more organic material that the GridMarx sample (United States). However, it is not yet known if either contributed to the odor.”

The state's findings now open the door for further investigation and the beginning of an established and scientifically backed series of proceedings against the manufacturers. It is important that homeowners who had their homes built between 2004 and 2006, or even before and after this time period, make sure they know what their walls are made of and take steps to protect themselves and their property. Florida and the United States government already have begun this process:

The Florida Department of Health is tracking 150 complaints about drywall causing metal corrosion and odors in homes. The U.S. Consumer Product Safety Commission also is investigating the extent of the drywall problem.

More information on this report may be found in the original news story by the Tampa Bay Business Journal and may be read here.

Residents of the Gulf Coast region are finding a new danger, this time in their homes. Chinese-made drywall is reportedly causing damage to health and property that the public at large, and Louisiana residents in particular, needs to be well aware of.

(CNN) -- Officials are looking into claims that Chinese-made drywall installed in some Florida homes is emitting smelly, corrosive gases and ruining household systems such as air conditioners, the Consumer Product Safety Commission says.

Gas emitted from defective drywall corrodes copper wiring, turning it black, some Florida homeowners say.

The Florida Health Department, which is investigating whether the drywall poses any health risks, said it has received more than 140 homeowner complaints. And class-action lawsuits allege defective drywall has caused problems in at least three states -- Florida, Louisiana and Alabama -- while some attorneys involved claim such drywall may have been used in tens of thousands of U.S. homes.

Homeowners' lawsuits contend the drywall has caused them to suffer health problems such as headaches and sore throats and face huge repair expenses.

The scope of the problem exceeds health issues as well, with Florida residents contending that this:

is what remains of their copper wiring after it was installed within gas-emitting Chinese drywall, which, over time, corrodes the copper wiring. That the drywall issue is emerging in some of the states hit hardest by tropical storms and hurricanes and where rebuilding or repair often occur is unfortunate. Residents of these states should contact any contractor or building agent/manufacturer to find out the materials used on their homes. If you feel that your home was improperly built using these materials, call our firm and an attorney will discuss with you your legal options.

Starting today and running through Friday, this blog will run through the emerging dangers coming up about Chinese drywall. Suddenly popping up on the news, this drywall is believed to emit gas that damages homes' wiring and foundation while at the same time causing negative health effects to residents. With experts believing that tens of thousands of homes could have been built using Chinese drywall, and with health effects being reported within the state of Louisiana, it is important that people be aware. As thousands of homes were rebuilt or repaired in the wake of tropical storms and hurricanes in the Gulf Coast region, this drywall may become a huge problem for residents and getting out the information on this potentially dangerous material is a priority for us at the Berniard Law Firm. That the drywall may have been used everywhere across the country points out that individuals, whether in New Orleans, Huntsville or Boston, should get information immediately about the walls in their homes.

With the class approved, a judge in Orleans Parish awarded residents of Louisiana $1,000 each from Louisiana Citizens Property Insurance for how they handled claims after Hurricane Katrina. The Berniard Law Firm's founder, Jeff Berniard, was part of the litigation and continued his record of helping residents get the justice they deserve when insurance companies act in bad faith of the law.

Judge approves Citizens class action settlement in Orleans Parish by Rebecca Mowbray, The Times-Picayune

Orleans Parish Civil District Court Judge Kern Reese ruled Thursday that the settlement brokered in a class action lawsuit against Louisiana Citizens Property Insurance Corp. should stand, finalizing a deal to award $1,000 apiece to policyholders whose 2005 hurricane claims were handled or paid slowly.

The plaintiffs' attorneys -- Madro Bandaries, Gregory DiLeo, Jeffrey Berniard and Ray Orrill -- also net a tidy sum. They will be paid $5 million for their work, or about 38 percent of what the estimated 13,000 class action members will be paid.

"We're very pleased with the court's order, and we're very pleased with the court's reasons for judgment," Bandaries said of the long-awaited decision.

Citizens also said it was eager to move forward.

"We're happy to put this behind us. We think it's in the best interests of Citizens policyholders and the state, because it's costing a lot of money in litigation," said John Wortman, who took over the state-sponsored insurer in 2007. "We're prepared to begin making payments."

More information on the case and what it means for residents of the Gulf Coast is available here.

The San Francisco Gate features an article that helpfully and articulately describes the difference between property and disaster insurance. Embedded within the article are links to other articles that help outline the grey area that can often exist on the issue. While this blog has tried to explain this in the past, every article an insurance policyholder in the Gulf Coast can read on the topic is worthwhile as recent years have shown insurance nightmares can easily spring up.

An excerpt:

The key today, with so many options, is to first assess exactly what you need and then work with an insurance agent to figure out the best package: one that covers your most significant risks. It's not an either/or scenario that you want, but a combination of policies that provides protection without duplicating coverage. It is common for business owners to fail to look closely at what is covered by their property insurance and buy another policy that covers many of the same risks. Conversely, many policyholders mistakenly assume disasters such as flooding are covered under one of their policies and don't discover until they're underwater that neither their property insurance nor their disaster insurance covers flooding.

The article in its entirety may be read here.

During an interview with WBRZ, Louisiana's insurance chief reminded Gulf Coast residents about tax rebates available to citizens in the wake of Gustav and Ike.

Homeowners who suffered property damage from Hurricanes Gustav and Ike are eligible for two tax rebates and a tax deduction. Louisiana Insurance Commissioner Jim Donelon said property owners will receive a rebate if they were charged for a Louisiana Citizens assessment on their 2008 policies. Additionally, residents can claim damages in excess of $100 as a 2008 federal hurricane tax deduction.

The video of the interview can be found here.

Recently available online is an article profiling attorney Jeff Berniard's work in defending policyholder's rights post-Katrina. The article, written by Lawyers USA, describes Mr. Berniard's strategy and success in helping Louisiana homeowners receive the justice they deserve.

An excerpt:

New Orleans attorney Jeffrey Berniard was a refugee from the ravages of Hurricane Katrina last year when he realized that the monstrous storm could contain a silver lining for his practice.

"I had an inkling there were going to be a lot of insurance problems out there," he recalled. "So I created a strategy, and when I came back I focused on that."

Berniard was a title attorney in a small New Orleans firm when Katrina forced him to evacuate and head for his family's home in Lake Charles, La. But when he went back five weeks later, he didn't return to the firm. Instead, he set up shop on his own as "Jeff Berniard, Louisiana Hurricane Lawyer," and created a website to bring in Katrina-related insurance business.

The strategy was successful. His new website brought in a flood of insurance cases, and by May he was so swamped with work that his wife, Melissa Elaine Wilson, left her job as a lawyer in Jefferson Juvenile Court to join him.

To read the complete article, go here.

In an article for the Star Telegram and the AP, more information is given on the increased HUD assistance coming through for Texas... to the tune of over a billion dollars:

The federal government is releasing $1.3 billion in federal housing assistance to 62 Texas counties help rebuild from the damage caused by three hurricanes in 2008, the top U.S. housing official announced Friday.

The money is to be spent on producing affordable rental housing, to rebuild critical infrastructure and to support economic revitalization, Housing and Urban Development Secretary Shaun Donovan said at a Houston news conference

"This funding will go a long way to help the hardest-hit areas of the state get on the road to recovery," he said.

Obviously at this point any funding to aid the recovery efforts is welcome and supported.

Per the Insurance Journal:

Gulfport, Mississippi Mayor Brent Warr, who is under indictment on several counts of fraud, will not run for re-election.

Warr made the announcement this week in a videotaped message released by his office.

Warr and his wife, Laura, are accused of defrauding the government and an insurance company over losses they suffered during Hurricane Katrina. The government alleges the couple did not live in their beachfront home before Katrina. The Warrs say they did.

The Warrs have asked a judge to delay their April 6 trial until the summer.

The 45-year-old mayor says in his announcement that he doesn't think he can fight the fraud charges and run for office at the same time.

An interesting development that goes to show playing it straight on your insurance claims is the best route, no matter what.

Produced by the Sun-Sentinel, a hurricane preparation video with helpful tips is available to watch on YouTube. Press play below to learn more about how to prepare for adverse weather in the coming hurricane months.

In yesterday's Times-Picayune, reporter Rebecca Mowbray details a string of rulings by the Louisiana courts in favors of residents against the insurers.

After siding with insurance companies in early rulings after Hurricane Katrina, the 5th U.S. Circuit Court of Appeal has suddenly cranked out a stream of policyholder-friendly rulings in hurricane cases.

In recent weeks, the region's federal appellate court has affirmed an award in favor of a homeowner, overturned a decision in favor of an insurer, said that homeowners can collect mental anguish damages when insurers don't pay, and revived a whistle-blower lawsuit alleging that insurers ripped off the government in paying flood claims.

The apparent change of heart has left many giddy plaintiff attorneys wondering whether the Texas judges involved in the favorable decisions have been moved by the experience of Hurricane Ike slamming their home state.

While it's a bit pessimistic to believe that justice only comes with life experience, it is very good to see the courts supporting policy holders when the insurance companies hold out. There are a series of expectations the state has for insurance companies, including deadlines, good faith compensation offers, etc. Many of these expectations are inflexible and can lead to a successful lawsuit against the insurer.

Continue reading " Louisiana Courts Backing Residents Against Insurance Companies " »

In the face of inclement weather, be it a tornado, hurricane, tropical storm, etc., it is important to be fully prepared and ready, as well as up-to-date with breaking news and forecasts. That is why an all-hazards alert radio is a great idea for families to keep in their basements in the event of bad weather.

Furthermore, the National Weather Service projects constant weather updates on a series of stations throughout the country.

NOAA Weather Radio All Hazards (NWR) is a nationwide network of radio stations broadcasting continuous weather information directly from the nearest National Weather Service office. NWR broadcasts official Weather Service warnings, watches, forecasts and other hazard information 24 hours a day, 7 days a week.

The radio itself can cost as low as $30-40 each (including delivery) and are described as essential in the event of adverse weather. This model is the size of a walkie-talkie. Not only portable and helpful, all Hazards Alert can be set to automatically activate and receive emergency statements.

Courtesy of the Insurance Information Institute

Hurricane Insurance Fact Sheet Insurance companies have paid an estimated $40.6 billion on 1.7 million claims for damage to homes, businesses and vehicles in six states from Hurricane Katrina, the largest loss in the history of insurance. By contrast, Hurricane Andrew resulted in $15.5 billion in losses in 1992 ($20.9 billion in today’s dollars) and 790,000 claims.

The four hurricanes in 2005—Katrina, Rita, Wilma and Dennis—generated more than $57 billion in insured losses and 3.3 million claims. Some 15,000 adjusters from across the United States were involved in helping policyholders recover from these storms.

More than 95 percent of the 1.1 million homeowners insurance claims from Hurricane Katrina in Louisiana and Mississippi, totaling more than $15.5 billion, were settled within one year of the storm.

In Mississippi, more than 334,800 homeowners claims, totaling $5.2 billion, have been settled. In Louisiana, more than 658,700 homeowners claims, totaling $10.3 billion, have been settled.

Nearly all of the 305,000 claims from damaged vehicles, totaling $2 billion, have been settled in both states.

Despite the attention focused on lawsuits filed following this catastrophic storm, the number of claims in litigation accounts for a very small percentage of the total number of claims filed. Estimates show that fewer than 2 percent of homeowners claims in Mississippi and Louisiana were disputed either through mediation or litigation.

Insurers remain committed to ensuring that all claims resulting from Hurricane Katrina are settled fairly and completely.

A poll conducted by IPSOS Public Affairs in 2006 found that 89 percent of homeowners in Louisiana and 93 percent in Mississippi are satisfied with their insurance company. The survey reported that four in five people (82 percent in Louisiana and 80 percent in Mississippi) who filed a hurricane-related claim are satisfied with the way it was managed by their insurer. While satisfaction numbers are slightly higher inland, most residents in the hardest-hit coastal areas describe themselves as satisfied with the way their claim was handled.

While significant problems with rebuilding persist along the Gulf Coast—including severe damage to public infrastructure, a shortage of contractors and reduced population—the billions of dollars in claims paid to date are helping fuel an increase in residential building. Building permits have risen by 4 percent in Louisiana and 32 percent in Mississippi, compared with a 4 percent decline nationally during the same period.

Insurance company claims payments equal 11 percent of state income in Louisiana and 10 percent in Mississippi.

These are really some eye opening statistics. It's extremely important that residents of the Gulf Coast make sure they retain the proper insurance levels necessary to secure their home and property in the event of a storm or hurricane. If you feel you are under-insured, contact an insurance agent immediately to bolster your "portfolio" to protect yourself from the ravages Gulf Coast, especially Louisiana and Texas residents, storms can cause. When you are insured, it is important to make sure your documents are in order and duplicates are stored in a safe place outside of your home (ex: bank, safety deposit box, family storage/location outside of the hurricane "zone," etc.) For more tips on how to protect yourself from hurricanes or for general 'how-to' ideas, check our section on storm and hurricane tips.

Continue reading " Insurance Statisics " »

As if waiting for insurance checks wasn't enough, residents in Galveston are now being held up by their mortgage lenders. In an article by the Galveston County Daily News, the plight of some homeowners is detailed as mortgage companies try to protect themselves and their investment and residents remain financially trapped.

But almost five months after Hurricane Ike filled the house with nearly 5 feet of salty floodwater, the Lopezes were still waiting for the mortgage company to send them the first installment of funds to go toward repair.

So many storm victims have had similar problems with their lenders that the Texas Legislature’s subcommittee on hurricane recovery has recommended the state start making mortgage banks pay interest to homeowners on any insurance funds held for an unreasonable amount of time.

This just goes to show there are so many bureaucratic steps to insurance and home protection that remaining on top of issues and ahead of the curve may help you in the longterm should a tragedy befall you and/or your property.

Per WBRZ news, "Louisiana homeowners and businesses will see property insurance rates rise more this year than they have since 2006." Business writer Ted Griggs cites the economic downfall facing the nation as the predominant reason for the increase, which could be anywhere from 3 to 10%.

[Insurance Commissioner Jim] Donelon said that with less coverage available, the law of supply and demand kicks in and prices rise.

Already, State Farm Fire & Casualty Co., the largest insurer in Louisiana, has asked to increase homeowners’ rates an average of 14 percent statewide. Farmers Insurance Exchange, the sixth-largest firm in the state, is seeking a 27.5 percent increase in homeowners’ rates and the institution of a 5 percent hurricane deductible. Louisiana Farm Bureau, the fifth-largest company, is seeking a 10.2 percent increase.

The Chicago Tribune, so graciously, pointed out the corruption in politics the great state of Louisiana is facing in the wake of Blagojevich by pointing out, while Illinois may have corrupt governors, they are nothing compared to us.

The beleaguered residents of Illinois may be squirming over their newfound visibility in the pantheon of corrupt states, thanks to the extravagant malefaction allegedly committed by the recently ousted governor, Rod Blagojevich.

But for genuine, savory, infused-in-the-gumbo style public venality, Louisiana still has Illinois, and most of America, beat. Ranked according to corruption convictions per capita from 1998-2007, Louisiana is No. 3, well ahead of Illinois at No. 19. (Only Washington, D.C., and North Dakota ranked higher—and in North Dakota's case, the results were skewed because of its extremely small population.)

While it may be disheartening, the article faces a dateline of "New Orleans" and does, in fact, mention the following:

"We used to say that in Louisiana we like our food spicy and our politicians colorful," said Rafael Goyeneche, president of the Metropolitan Crime Commission, a corruption watchdog group. "But lately we have noticed a shift in the public's attitude toward corruption. It's no longer a spectator sport. People don't want to tolerate it anymore."

It is nice to see a story featuring the headline "Most corrupt state: Louisiana ranked more corrupt than Illinois" does feature some reality: Louisiana residents are no longer willing to put up with bureaucratic nonsense and are ready to take a stand. While corporations and big business have relied upon apathy, it is good to see a quote in a national paper, albeit one with a slanted headline, point out we're not putting up with the nonsense any longer. Just as insurance companies have put up with our complacency, we hope people will no longer put up with what they are offered but, instead, stand up for what is right.

The Times Picayune reported yesterday

Louisiana has the third-highest homeowners insurance premiums in the nation, according to the first assessment of prices after Hurricane Katrina by the National Association of Insurance Commissioners.

The cost appears to be a Gulf Coast epidemic as Texas claims the number one spot, followed closely by Florida:

The most expensive property insurance market in the country in 2006 was Texas, where premiums increased 2.7 percent in 2006 to an average of $1,409 per home. But the NAIC cautions against comparing Texas to any other market because the Texas data comes from a different source than most other states, and the homeowners policies are slightly different.

The explanation (or excuse?) for this is simple: the weather and risk level of the Gulf Coast places the financial burden on citizens to properly maintain insurance on their homes and property. While this demands constant vigilance on the part of state government and the citizenry to make sure insurance companies do not overstep what is necessary for them to remain successful and in business, it, in the least, requires policy holders to make sure they get their "bang for their buck" and get the best service and response they deserve from their insurance company.

Always make sure your provider is conforming to deadline requirements should you make a claim and, in the event they act in bad faith, contact an attorney immediately.

Continue reading " Report: Louisiana, Texas most expensive places for homeowners insurance " »

FEMA is now looking into cronyism in Louisiana in the wake of federal funding provided for the recovery effort post-Katrina.

WASHINGTON (AP) — The Federal Emergency Management Agency is investigating allegations of cronyism and other misconduct at the New Orleans office overseeing efforts to rebuild the hurricane-battered Gulf Coast, officials said Wednesday.

The agency, which has endured fierce criticism over delays in the rebuilding effort, sent a team of Washington investigators to its Louisiana office last week. The agency expects a report on findings in the coming days, two top officials said at a congressional hearing on the Hurricane Katrina recovery.

Of note is the following:

In Louisiana, about $3.4 billion in FEMA assistance remains unspent — nearly half of what was approved.

Hopefully the recent attention the mismanagement of tasks FEMA is receiving will lead to positive results for the Gulf Coast.