We know an insurance company has submitted to the Texas Department of Insurance (“TDI”) a policy that requires mandatory arbitration in the event of a dispute on a claim. TDI won’t disclose which carrier submitted the new policy form or provide a copy of the proposed form on the basis of “trade secrets”… a response that makes no sense. What really makes no sense is that TDI would even consider allowing a mandatory arbitration clause into an insurance policy in Texas. Many states, like Georgia, prohibit arbitration clause in insurance policies.


Continue Reading Texas Should Look to Georgia on Mandatory Arbitration Issue

Some losses are not as readily apparent to policyholders as a fire or significant water loss. The policyholder may not discover the damage until days, weeks or months after the loss occurred. This can often be the case for hail losses to roofs. However, when the policyholder gives notice weeks or months after the loss, the insurance carrier will often claim late notice and rely on the notice condition in the insurance policy to deny coverage.


Continue Reading Is Your Claim Too Late in Georgia?

When submitting a claim to an insurance company, a policyholder has certain obligations that must be followed. The insurance policy contract lists the obligations. The policy document was written by the insurance company and approved (most of the time) by the insurance regulatory agency for the state where the property is located. Insurance contracts are usually “take it or leave it” when it comes to the wording of the provisions. An insured can buy endorsements to the policy, add additional insurance, and change deductibles but the language about the coverage and the explanation of what is excluded is not something an insured can make edits or changes to for the insurance company to consider and make part of the contract.


Continue Reading Insurance Company Has to Have Reasonable Requests Pursuant to the Policy