by Zoltan Hovanyecz | Apr 21, 2015 | Florida Insurance
When you are faced with the decision of filing an insurance claim for damages to your home, many people think that your insurance company is there to assist you and guide you through the claims process. Unfortunately, Florida homeowners insurance companies are not in the business of giving away their money to consumers; they are in the business of making as much of it as possible. So it makes sense that in Florida, the homeowners insurance claim process is more of an uphill battle for the consumer where the insurance company generally has the upper hand. Because of their complicated insurance policies and seemingly unending cash used to fight your claim, insurance companies can and will take advantage of the unsuspecting consumer. Your insurance company has their own attorneys, experts and engineers at their disposal; shouldn’t you also have these resources available to you? Whether you have just suffered damages to your home, have already filed an insurance claim, have had your insurance claim denied, or have not been paid enough, having an attorney representing your rights against the insurance company is important.
No Cost to You
There is no cost to hiring Schatzman & Hovanyecz, P.A. to represent you for your insurance claim. Even if we need to file a lawsuit and we recover benefits on your behalf, Florida law requires that your insurance company pay for your attorney fees. In the event that we are unable to recover anything on your behalf, you owe us nothing.
A Focus on Maximum Recovery
Insurance companies send representatives to your home to assign a dollar value to the damages caused to your home and property as a result of your insurance claim. Usually, the dollar values determined by the insurance company are highly underestimated allowing the insurance company to limit its payout to you for your claim. We put our expertise and experience to work for you to prevent the insurance company from relying solely on their own evaluation of the value of your damages. Our goal is to obtain the most recovery afforded to you by Florida law and your insurance policy.
Personal Attorney Attention
Dealing with an insurance claim alone can be difficult and time consuming. Many of our clients enjoy the aspect of leaving the responsibility of dealing with their insurance company to us. We will handle all aspects of your insurance claim for you. We deal directly with your insurance company on your behalf and we will be present at all inspections with the insurance company and their representatives. We will ensure prompt handling and payment on your claim.
Our involvement limits the insurance company’s ability to delay, deny or underpay your claim. Attorney representation shows the insurance company that you are serious about your claim and you will not accept an insurance company’s traditional delay and deny tactics.
Feel free to contact us regarding the specific facts of your claim or for any questions you may have.
by Zoltan Hovanyecz | Apr 21, 2015 | Florida Insurance, Property Damage
This post is a first in our series discussing some common types of insurance claims that consumers may not be aware could be covered by their homeowners insurance policies. This post will address homeowner insurance coverage issues arising from broken, deteriorated, clogged, or otherwise damaged drain lines.
Drain lines, or sanitary lines, are the plumbing lines that run underneath your home and carry away liquid and solid waste to the municipal sewer system or your septic tank. Unlike the plumbing system that brings clean water into your home, drain lines are unpressurized and take waste away from your home by the forces of gravity. There are many older homes in Broward, Palm-Beach and Miami-Dade Counties that were built years ago using cast iron drain lines that are now starting to fail. Like many other metals, cast iron is susceptible to corrosion, rust, deterioration, and damage caused by root growth. When your drain lines are damaged, harmful water containing sewage could be released into your home through open drains, overflowing toilets or sinks, or from other openings in the drain system. Occasionally, the leaking water and sewage can even make its way up through the foundation of the home, typically through and open drain.
Many times, the leaking water or sewage will result in damage to a policyholder’s home leading consumers to question whether they should file a claim or whether such damage is even covered by your homeowners insurance policy. Nevertheless, even if the water damage is covered, many insurance companies will refuse to pay for the repair to the drain lines themselves. The plumbing repairs in these situations can be quite expensive, running into the thousands and tens of thousands of dollars.
The answer of whether your insurance company will provide coverage in such a situation will always depend on the specific facts of your claim; however, there are certain things you can do to ensure the best chance of a positive outcome with your insurance company. First and foremost, call a reputable plumber to diagnose your problem. Sometimes, it could be something as simple as paper towels clogging your drain lines. Other times, it could be something much more costly and serious such as a total drain line failure. It is important, and likely even a requirement under your insurance policy, that you take reasonable steps in addressing the cause of the damage in order to minimize any further damage, so obtaining a diagnosis from a licensed, qualified plumber is a must. Always request invoices and documentation from your plumber and never throw away any damaged plumbing parts or pieces until an inspection has been conducted by your insurance company.
Next, it is crucial that you take photographs of any water, sewage or damage in your home. Ask your plumber to take photos and use your own camera or cell phone to take your own. Your insurance company will want to see these photos. The more photographs and documentation you have to support your claim and damages, the better.
Finally, you are going to need to promptly contact your insurance carrier to report your claim. This can be the beginning of a daunting and lengthy process and its important that you understand you rights and obligations under your insurance policy. Give us a call today to discuss the specific facts of your claim and what we can do to help you through the process.
by Zoltan Hovanyecz | Apr 21, 2015 | Florida Insurance
On July 3, 2013, the Supreme Court of Florida issued its written opinion in the case of Trinidad v. Florida Peninsula Insurance Company. In the underlying insurance claim, Trinidad filed an insurance claim for fire damage occurring on February 11, 2008 with his homeowner insurer, Florida Peninsula Insurance Company. Florida Peninsula accepted coverage and paid on the Trinidad’s replacement cost insurance policy. However, the amount paid did not include overhead and profit because Florida Peninsula believed it was not obligated to pay overhead and profit until those expenses were incurred by Trinidad. Trinidad did not hire a general contractor and did not make repairs to his home. The trial court and Third District Court of Appeal both agreed with Florida Peninsula holding that overhead and profit was not payable by the insurer until hired a general contractor or incurred the costs of the repairs. The case was subsequently appealed to the Supreme Court of Florida.
The Supreme Court of Florida held that an
insurer’s required payment under a replacement cost policy includes overhead and profit, where the insured is reasonably likely to need a general contractor for the repairs.
The Court reasoned
that because the insured would be required to pay costs for a general contractor’s overhead and profit for the completion of repairs in the same way the insured would have to pay other replacement costs he or she is reasonably likely to incur in repairing the property. Because section 627.7011, Florida Statutes (2008), and the replacement cost policy in this case, did not require the insured to actually repair the property as a condition precedent to the insurer’s obligation to make payment, the insurer was not authorized to withhold, pending actual repair, its payment for replacement costs, which is measured by what it would cost the insured to repair or replace the damaged structure on the same premises if the insured were to do so.
It is important to note that this decision only applies to claims occurring prior to the 2011 revision to Fla. Stat. 627.7011. Essentially, in any claim falling under the 2008 version of Fla. Stat. 627.7011, the insurer must pay overhead and profit if the insured is reasonably likely to need a generally contractor for the repairs necessary by the covered loss.
The entire Supreme Court of Florida opinion in Trinidad v. Florida Peninsula Insurance Company can be found here.
by Zoltan Hovanyecz | Apr 21, 2015 | Florida Insurance
Recent statutory changes prompted by Florida House Bill 909 take effect today, July 1, 2013, containing changes that will affect Citizens Property Insurance Corporation and Florida Public Adjusters. Some of the major changes effect the financial operations of Citizens Property Insurance Corporation but it also provide for some significant changes in how Florida Public Adjusters handle claims with Citizens.One of the most anticipated provisions of the bill is the change to the statutory fee cap for Public Adjusters handling claims for Citizens Property Insurance Corporation policy holders. As of July 1, 2013, Public Adjusters may now represent consumers insured by Citizens at a rate of 20% on both new and supplemental claims. In addition, some changes were made to the Florida Hurricane Catastrophe Fund, rate filings, and rate standards.A brief summary of the Florida statutes that govern Public Adjusters and which include the July 1, 2013 amendments can be found
here.
The lengthy, complicated and official version of the statutory changes can be found here.
by Zoltan Hovanyecz | Apr 21, 2015 | Florida Insurance
Citizens Property Insurance Corporation approved a statewide average rate increase for their homeowners insurance policies in the amount of 7.5%. Rate increases to wind only policies and sink hole policies are expected to be even higher. Although this rate increase must still be approved by Florida’s Office of Insurance Regulation, consumers insured with Citizens will likely see a notable increase in their homeowners insurance premiums as a result of the rate increases. However, it is important for the consumer to understand the difference between insurance rates and insurance premiums in order to understand how rate increases will affect how much you pay for homeowners insurance in Florida.Insurance rates and insurance premiums are different. An insurance rate is the insurance company’s base charge per dollar of insurance coverage. Rates differ based on a number of factors including the age of home and the geographic location. For example, a home located closer to the coastline will generally have higher rates than a home further from the coastline. The rate establishes the foundation on which your premium is based. An insurance premium is the total cost of your insurance coverage. A premium includes all factors of your insurance policy including limits of coverages, the amount of your deductible, any discounts, etc. So, a 7.5% increase in insurance rates does not equal a 7.5% increase in insurance premiums. Nevertheless, Citizens policy holders should expect to pay more for their homeowners insurance coverage.
A direct link to the Citizens Property Insurance Corporation press release can be found here.
by Zoltan Hovanyecz | Apr 21, 2015 | Florida Insurance
Recently, Citizens insurance policies held by South Florida residents are being assumed by a small group of untested insurers. These companies include Heritage Property and Casualty and Weston Insurance., both of which have only been licensed by Florida for less than a year. The concerns are that these upstart insurers may not be able to withstand the financial burden of an active or destructive storm season in Florida. As a result, it is imperative that consumers understand the consequences of their policies being taken out by new upstarts.
Unfortunately, the way the take out system works provides customers with very little consumers protection. When a consumer is targeted for take out, they are sent notification that their Citizens insurance policy will be assumed by another insurer. If the consumer does not respond to the initial letter within 30 days, they receives a Notice of Assumption allowing the consumer another 30 days to respond. So unless the consumer takes action to opt out of the assumption, the consumer’s insurance policy will be taken out by the prospective insurer. Any consumer’s currently insured by Citizens should be on the look out for correspondence regarding a take out of their policy so they can act quickly within the required time period.
A link to Citizens Property Insurance Corporation’s guidelines on take outs can be found here.
