Yesterday’s post, Will Citizens Property Insurance Disputes Be Handled By Government Administrative Judges?, ended with the hope that Florida’s Office of Insurance Regulation would respond to Citizens request for an endorsement by looking out of policyholder interests. In a comment to the blog post, Mike Cappelli commented by saying that Florida’s OIR was a “rubber stamp.”
Continue Reading The Revolving Door Connecting Insurance Regulators with the Supposedly Regulated Insurance Industry
Smoke damage claims are unique. Special claims training is needed to properly and safely adjust smoke losses. Most policyholders are entirely unaware of the personal dangers created by smoke. These claims are often overlooked and not reported due to ignorance.
Continue Reading Smoke Damage Claims—Are Insurers Handling Smoke Claims Properly and Trying to Reduce Smoke Coverage Through New Policy Language?
The gut answer to the post question is: “Of course not, Chip, that would not be fair and would encourage insurance companies to underpay and deny claims.” Still, this is the result when courts follow the literal contract language found in most “replacement cost’ policies and require policyholders to prove the amount paid above actual cash value benefits – even if the insurer failed to pay all the actual cash value benefits because of underpayment or wrongful denial.
Continue Reading Should Underpaying and Wrongfully Denying Insurance Companies Get Away With Not Paying Replacement Cost Benefits?
The Colorado Division of Insurance got an earful from Colorado policyholders dealing with insurance claim problems at a virtual town hall meeting last night. The event, Insurance Town Hall – Partial Losses in the Boulder Fires & Straight Line Winds, had panelists discussing the issues of soot, ash, and char claims following the recent Marshall Fire. Insurance Commissioner Michael Conway was obviously frustrated hearing how Coloradans are being treated with their claims. He stated that “his blood pressure was going up” and that he intended to call Liberty Mutual and Travelers. The event was recorded and will be on the Division’s website.
Continue Reading Soot, Ash, and Char Claims Are Hot Topic At Colorado Insurance Commission Virtual Town Hall Meeting
United Policyholders (“UP”), a non-profit 501(c)(3) whose mission is to be a trustworthy and useful information resource and a respected voice for consumers of all types of insurance in all 50 states, launched its national Restoring the Insurance Safety Net Coalition (RISC) initiative in 2020. The purpose of this initiative is to reverse the trend of insurance policy re-writes that are shrinking coverage for damage to homes. One of its stated approaches is to identify wording that is causing protection gaps. I encourage you to read more about the initiative at uphelp.org/risc.
Continue Reading Beware of Avoidable Coverage Gaps with California FAIR Plan Companion Endorsements
The Marina Del Rey Hotel is a hidden gem in Southern California. It is nestled among thousands of sailboats and is a perfect setting for a conference. The California Association of Public Insurance Adjusters (CAPIA) will hold its Annual Convention there this coming Thursday.
Continue Reading The California Association of Public Insurance Adjusters (CAPIA) Annual Convention on Thursday in Marina Del Rey
United Policyholders provides a forum to help advocate for and educate about the need for policyholder rights. As a result of United Policyholders, I and others with Merlin Law Group have been able to help support the legal rights of our current and future clients. To me, it would just seem natural that a law firm and its lawyers who say they are dedicated to the rights of policyholders would support with their time and money the activities of United Policyholders (UP). Otherwise, are you just doing it for the money?
Continue Reading Lifetime Achievement Award From United Policyholders
Last month, United Policyholders was kind enough to invite me to participate in one of the plethora of webinars/seminars/workshops it hosts, one of many free resources it offers for insurance consumers. The main topic of the presentation was homeowners’ personal property claims. This topic has a special place in my heart since my first exposure to the insurance industry was doing contents inventories with my father growing up. The webinar was a great opportunity to hear lingering questions from policyholders impacted by California wildfires in previous years.
Continue Reading Tips for Tackling Your Personal Property Claim
Many of us appreciate misdirection, deception, and technical play on words in brainteasers and riddles. The same is not usually the case when an insurer is explaining your legal rights following a devastating loss. While this blog showcases California claims, laws, and regulations, the principle for policyholders and policyholder advocates applies across the country – it pays to know your insurance claim rights.
Continue Reading Don’t Believe Everything You Read on the Internet – or Even in Your Claim Letter
Arbitration clauses primarily found in surplus lines policies with a choice of law provision generally selecting New York law and a shortened statute of limitations are a trap for unwary public adjusters and attorneys. A recent federal appellate court case upheld such a clause despite a state law making it illegal. The holding of the case suggests just how complicated of a legal issue this is:
This appeal presents an issue of first impression in this circuit that lies at the intersection of international, federal, and state law: whether the McCarran-Ferguson Act, 15 U.S.C. §§ 1011–15, allows a Washington statute to reverse-preempt the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, a multilateral treaty. We conclude that the relevant provision of the Convention is self-executing, and therefore not an “Act of Congress” subject to reverse-preemption by the McCarran-Ferguson Act. Accordingly, we affirm the district court’s order compelling arbitration.1
Continue Reading Public Adjusters Beware of Arbitration Clauses Changing State Law