A Golden Triangle Hurricane Insurance Fraud Lawyer Can Help

Hurricane Ike vented its wrath on much of America, but on no spot more badly than the Texas Gulf Coast. Galveston and Houston suffered a head-on hit from the hurricane, suffering billions of dollars in damages. The entire island and city of Galveston had to be evacuated, and residents have not been allowed to return, after almost a week since the hurricane struck. In Houston, about 1.5 million residences remain without power, and many won’t receive power again for weeks.

In this major disaster, relief is desperately needed, and not just from FEMA or other government sources, but from the insurance companies which accepted billions of hard-earned dollars from their policy holders. Now those same companies must pay for property damage claims or for claims via business interruption insurance, thus helping residents and businesses along the Texas Gulf coast to get back up on their feet.

Unfortunately, this will not be the case for many. Insurance fraud is epidemic in America, with some insurance companies trying to resist paying claims on policies for which they were paid. In Florida during a recent two-year period, the state suffered $36 billion in losses due to hurricanes or major storms, yet only $15 billion in insurance premiums were collected.

Businesses and homeowners should be especially wary when their insurance provider tries to underpay by offering a quick settlement up front. They should resist such settlements and insist that they are paid fully based on the terms of their policy.

Also, insurance companies are required by law and by contract to either accept or reject a claim within a short period of time after it’s made, often about two weeks. Some companies will drag their feet on such a decision and try to stretch out the process in hopes that they can delay payment or avoid paying altogether.

Insurance companies also may try to resist payment based on ambiguous language in their policies. If that is the case, a court is unlikely to rule in their favor, since courts hold insurance companies responsible for the language of the policies which they wrote, and ambiguity is not tolerated.