Legal Question in Insurance Law in Maryland

Hello,

Three weeks ago I discovered 1.5 feet of water in my basement during a heavy rain. I've never had flooding issues before so I called my homeowner's insurance to see if it was covered. I don't have flood coverage but was told by a representative that my claim would be covered if the water was due to the drain hole in my floor ( I'm really not sure how the water got in there). I was given a claim number and assigned an adjustor. The adjustor told me he would send a remediation team ASAP. Remediation came 4 days later and dried the basement out- also cutting the first two feet of my knotty pine paneling out. My adjustor advised me to make a list of all damaged items and discard them. The following week the adjustor had a HVAC company come repair my furnace and a contractor to do a repair estimate. Yesterday my adjustor called and told me my claim would not be covered, he never 'checked' my policy. (the rep I initially called to file the claim told me per my policy it would be covered) However, my adjustor said the ins. company would pay all of the contractors they dispatched to that point.

Now I have half of my basement walls and $4,000. worth of personal belongings I listed and discarded ( with receipts). Can they do this? It seems they only decided to 'check' my policy after they recieved the repair estimate. Should I get a lawyer?

Thank you,

Tracy


Asked on 10/21/10, 10:01 am

1 Answer from Attorneys
Phillip M. Cook Cook Legal Services, LLC

You should absolutely get a lawyer. It doesn't really matter what they "told" you over the phone. It matters only what the insurance policy expressly states. If insurance companies wrongfully withhold coverage, they can face steep penalties.

Best of luck.******The above is for informational purposes only and does not create an attorney-client privilege.*******

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Answered on 10/26/10, 11:11 am


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