Our client, a local hotel owner, was forced to file a lawsuit against Palomar Specialty Insurance Company (Palomar) after its commercial property insurance claim was wrongfully denied.
Hurricane Harvey Pummels Texas Coast
On August 25, 2017, Hurricane Harvey swept through Texas and caused significant damage to the plaintiff’s property. Wind gusts of up to 132 miles per hour were reported within the same area of the subject property.
Sizable portions of the hotel’s roof were compromised by wind, leading to interior damage to ceilings, walls, and flooring. Additionally, the facility’s HVAC, and windows were also damaged by the storm. Upon discovering the damage, the plaintiff filed an insurance claim under the policy with Palomar for damaged caused by the storm.
Palomar assigned adjusters, consultants, and agents to the plaintiff’s file that were inadequately and improperly trained. Specifically, the insurer assigned the claim to an internal adjuster. Palomar and the internal adjuster used a preferred vendor to inspect the hotel property. The preferred vendor was unqualified and incapable of adequately assessing the property damage. All parties involved in Palomar’s workup of the insurance failed to communicate damages estimates or claim status updates.
As a result of the adjuster’s inadequate, incomplete, and unreasonable investigation, the commercial property damage insurance claim was denied. Palomar’s refusal to pay for damages covered under the policy has caused a significant negative economic impact on our client’s business, including continuing economic and physical damage to the property.
The Insurance Carrier Violated the Texas Insurance Code
Our client cites violations of the Texas Insurance Code, including a failure to effectuate a prompt, fair, and equitable settlement of a claim, failure to provide a reasonable explanation for the denial of a claim, and refusal to pay a claim without a reasonable investigation, among others. Our client alleges that the insurance carrier acted in bad faith and violated the Texas Deceptive Trade Practices-Consumer Protection Act.
Corpus Christi Hurricane Harvey Property Damage Attorneys
If your commercial insurance carrier has denied, delayed, or disputed your Hurricane Harvey property damage claim, the experienced insurance litigation attorneys at Raizner Law can help. We’ve helped policyholders across Texas get the rightful compensation they deserve under their policies. Contact us today for a free consultation.