As Hurricane Helene heads toward Florida, it’s critical for homeowners to be prepared not only for the storm itself but also for the aftermath. While having homeowner’s insurance is an essential part of protecting your property, dealing with insurance companies after a hurricane can sometimes be as stressful as the storm itself. Unfortunately, it’s not uncommon for insurance companies to delay payment, underpay claims, or outright refuse to pay what is owed, leaving homeowners in a difficult position when they need support the most.
We sat down with Farah & Farah attorney Andreas Study to talk about how insurance companies may try to get out of paying what they owe homeowners after a hurricane and what you can do to protect yourself and your property.
What To Expect From Hurricane Helene
Hurricane Helene is forecasted to make landfall as a Category 3 hurricane on the Gulf Coast of Florida on Thursday, September 26, 2024. It’s projected to cause some property damage in coastal areas and cause electricity to be out of service for up to several weeks following the storm. Governor DeSantis has declared a state of emergency for 41 counties and schools are closing in preparation for the storm. Residents in certain areas of the Gulf Coast and the Panhandle have been urged to evacuate as the storm approaches.
Filing an Insurance Claim After the Hurricane
After a hurricane, insurance companies are flooded with claims. While many people assume their insurer will act quickly to process and pay out claims, this isn’t always the case. In fact, some insurance companies may use certain strategies to delay or avoid paying what is rightfully owed. Though you’ll want your home repaired of any damage as quickly as possible, your insurance company may try to give you a low-ball offer that won’t be enough to make your home whole again, even if your insurance policy should fully cover it.
Delaying Claim Payment
Insurance companies often delay the claims process, hoping homeowners will either give up or accept a lower payout just to get something in hand. An insurance company may delay by postponing adjuster visits, dragging out investigations, or by repeatedly asking for more paperwork even if all paperwork has already been filed.
Underpaying Claims
Even when insurance companies agree to pay a claim, they may offer far less than the actual cost of repairing the damage. The insurance company may make a lowball offer, decline to cover certain types of damage, or purposefully depreciate the value of your home or other possessions.
Denying a Hurricane Damage Claim
In some cases, insurance companies may outright refuse to pay a claim, citing reasons such as the damage pre-existing the storm, a loophole in exclusions to coverage, or improper filing.
Farah & Farah’s Work Representing Homeowners
Our goal is to help people like you whose homes are damaged by things outside of your control. You have enough to worry about recovering from the damage without also having the fight the insurance company for the money that you’re owed. Big companies may try to get out of paying claims after a storm, prioritizing money over the people who diligently paid their insurance premiums every month.
$250,000 Win for Tornado Damage Victim
In April this year, we won a case on behalf of a client whose DeLand home was damaged in a tornado. The insurance company gave him a lowball offer and told him to “take it or leave it.” This offer wasn’t nearly enough to put his home back together. If our client had taken the offer from the insurance company, he’d have been out thousands of dollars just trying to get his home back to how it was before the tornado.
It took four years, but Farah & Farah attorneys Andreas Study and Frank Fratello worked with an entire team of Farah attorneys to fight the insurance company on our client’s behalf. That’s a long time to go without getting the money owed by the insurance company for repairs; delaying is a common tactic used by insurance companies. If you need the money, they hope you’ll settle for less than what they actually owe to get the repairs done more quickly.
Fortunately, we were able to fight the insurance company for the $250,000 they owed our client so he could make his home whole. We represent all of our clients with the same energy and dedication to getting them the justice and relief that they deserve after life-changing events like these.
Protecting Yourself After a Hurricane
If your property is damaged by Hurricane Helene or any other hurricane, it may seem daunting to deal with the insurance company in the aftermath. However, there are some steps you can take, some before the storm and some after, to help protect yourself and your home.
Double-Check Your Insurance Policy
Hurricanes can cause a lot of different types of damage, like wind damage or flood damage that may require special extra policies because they aren’t covered under standard homeowners insurance policies. Ideally, this would be done long before a hurricane arrives so you could be sure that your home is fully covered when a storm does arrive. You’ll also have a better idea of what your policy should cover if the insurance company tries to claim that it doesn’t.
Hurricane Deductible
You should also check your policy to see whether there’s a hurricane deductible. Some insurance policies may include a higher deductible for hurricane damage. Whatever that deductible is, you’ll need to pay that prior to the insurance company starting to pay anything towards repairing the damage.
These deductibles can sometimes be unreasonably high and you don’t want to be stuck paying an outrageous amount because you weren’t aware of the high deductible. Make sure to check that your deductible is reasonable long before a hurricane hits so you have the chance to switch policies or insurance providers if need be.
Pool Screen Enclosures and Screened-In Porches
If you have a pool with an enclosure or a screened-in porch, you should double-check that it’s covered for wind and other hurricane damage. Screen enclosures are not designed to take the stress of hurricane-force winds and even if the structure looks okay, there’s a good chance that damage will be discovered later on.
Replacement Cost vs. Actual Cash Value Policies
You’ll also want to make sure that your insurance policy covers the actual replacement cost of your property, not the cash value. Cash value policies only pay you what the property would be worth if it were sold at its age and condition prior to the damage, which is likely to be much less than what a new replacement would cost. Both are only paid out after the deductible is met in full and if you have a cash value policy, you could be stuck paying extra.
Other Steps To Take After the Hurricane
While understanding your insurance policy is important, there are some other steps you can take to make sure you’re as prepared as possible:
- Document everything: Take photos before and after so the insurance company can’t claim the damage was pre-existing.
- Don’t settle too quickly: The insurance company may offer a lowball offer at first, hoping you’ll settle quickly out of desperation.
- Seek legal help: Hire an attorney who is well-versed in handling insurance companies to fight on your behalf.
How Can Farah & Farah Help Me With My Insurance Company?
After a hurricane, Farah & Farah can help in several ways, from helping you to understand what your insurance policy is required to cover to sending out estimators to survey the damage to filing a lawsuit on your behalf. We aim to make the process of getting what you’re owed by your insurance company easier and stress-free. Our clients have enough to worry about in the aftermath of a hurricane.
Even the Playing Field
Insurance companies have professionals and an army of attorneys on their side. “Don’t go into battle against your insurance company alone,” says Andreas. “Make it a Farah Fight.”
We’ll bring in our own experts to ensure that the valuations the insurance company gave are accurate. They may try to undervalue the cost of replacement or artificially depreciate the value of your property. We’ll make sure they can’t get away with that.
Estimators and Engineers To Assess Damage
Hurricanes have multiple methods of causing damage to a home. For that reason, it can be difficult to determine what exactly damaged what in your home. The insurance company may try to claim that covered damage was actually caused by something that wasn’t covered. That’s why we bring in our own estimators to assess what happened, so we can get to the bottom of it for you. We can also help to identify additional damage for a supplemental claim once repairs have begun.
Navigate Legal Changes That Affect Your Insurance Policy
In 2022, Florida lawmakers passed Senate Bill 2-D, which made some reforms that affected insurance policies in Florida. The goal of the reform bill was to curb rising premiums, reduce litigation, and stabilize Florida’s insurance market. The reforms from Senate Bill 2-D include:
- Allowing policyholders to transfer their claim rights to a third party so they can deal with the insurance company directly
- Attorney fee multipliers are restricted and insurance companies are no longer required to pay the policyholder’s attorney’s fees
- Insurance companies are allowed to offer homeowners roof deductible options and separate roof policies
- Florida has created a $2 billion reinsurance fund to provide backup coverage for insurers
- Insurers have to respond to and settle claims more quickly
Home Damaged by a Storm? We’re on Your Side
We can’t protect you and your home from the weather, but we can help you against the insurance companies that try to avoid paying you what they rightfully owe. When you’ve been through a stressful situation, we’ll be on your side every step of the way. If your insurance company is delaying payment or underpaying, don’t wait to contact us for a free consultation. We’re available for you any time, any day of the week. We’re here for you.
