Insurance Dispute Lawyer Blog

What Your Insurance Agent Owes YOU

Published on: November 17, 2008 | By Berniard Law Firm

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.

Car Insurance For The Worst-Case Scenario

Published on: November 16, 2008 | By Berniard Law Firm

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.

Hurricane Katrina Fraud Can Happen Again

Published on: November 15, 2008 | By Berniard Law Firm

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.

How Insurance Companies Could Defraud You

Published on: November 14, 2008 | By Berniard Law Firm

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.

How Texas’ Personal Injury Protection Protects You

Published on: November 10, 2008 | By Berniard Law Firm

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.

Insurance Companies Have To Follow The Rules Too!

Published on: November 9, 2008 | By Berniard Law Firm

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.

A Hurricane Checklist To Make Sure You’re Prepared

Published on: November 8, 2008 | By Berniard Law Firm

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.

Tips On Post-Hurricane Recovery in the Gulf Coast

Published on: November 7, 2008 | By Berniard Law Firm

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’s Tips on Storm Recovery

Published on: November 6, 2008 | By Berniard Law Firm

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.

Annual Car Insurance Reviews Could Save You Plenty

Published on: November 5, 2008 | By Berniard Law Firm

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.