Local Houston Apartment Complex Owner Files Insurance Lawsuit After Fire Damage Claim Denial

Apartment Complex Insurance Claims

Raizner Law has filed a bad faith insurance lawsuit on behalf of a local Houston apartment complex owner against Certain Underwriters at Lloyd’s London, QBE Specialty Insurance Company, General Security Indemnity Company of Arizona, Lexington Insurance Company, International Insurance Company of Hannover, PLC, Indian Harbor Insurance Company, Steadfast Insurance Company, United Specialty Insurance Company, Princeton Excess & Surplus Lines Insurance Company, and Amrisc, LLC.

November 2017 Fire

On November 12, 2017, a fire substantially damaged the plaintiff’s apartment complex property. As a result, the damaged building components include light fixtures, windows, drywall, flooring, HVACs, and the roofing system of the property, among other items. Upon discovering the damage, the plaintiff filed an insurance claim under its policy with the carriers for damages to the property caused by the fire. The plaintiff asked that the cost of repairs be covered pursuant to the policy.

The insurance carriers, through AmRisc, assigned adjusters, consultants, and agents to the plaintiff’s file that were inadequate and improperly trained. Specifically, the claim was assigned to a third party adjusting firm who in turn assigned the claim to its internal adjuster. The internal adjuster conducted an unreasonable and inadequate investigation and denied the claim for fire damage to property.

Despite clear evidence of covered damage, the carriers engaged in and ratified the internal adjuster’s improper claims conduct and ultimately approved a gross underpayment of the contractual damages. This underpayment was issued on March 26, 2018 and it omitted important facts, physical evidence, and meteorological data supporting the plaintiff’s claim. The carriers instead unreasonably blamed the loss on causes other than fire to avoid contractual responsibilities and saved in excess of $1,000,000.

Violations of the Texas Insurance Code

Our client cites numerous violations of the Texas Insurance Code, including failure to effectuate a prompt, fair, and equitable settlement of a claim, failure to adopt and implement reasonable standards for the investigation of a claim, and refusal to pay the claim without conducting a reasonable investigation.

Lawyers for Apartment Complex Insurance Claims

If you are an apartment complex owner, and your property has suffered from wind and hail damage, fire damage, plumbing leaks and water damage, or damage from any type of disaster, you may need legal assistance. Raizner Law has successfully helped apartment complex owners and other business owners with insurance claims against some of the largest insurers in the world. Contact us today for a free consultation to discuss your case.

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