Legal Question in Insurance Law in Michigan

Post Office Claim Denied

I sold a laptop on ebay and sent it to the winning bidder using united states postal service. I insured the package for $1000 and got delivery confirmation where the recipient would have to sign to receive. Well, the package never made it to the winning bidder, so I filed an insurance claim. I filed the paperwork and filled out the form so the winning bidder would receive the refund check. A few months went by and the winning bidder told me he got a letter saying they needed additional documentation to prove the cost of the laptop. I tried calling the contact on the letter he received, but it was a general number and reaching him was imposible. The winning bidder contacted an attorney and they appealed the deniel. I guess to much time elapsed and they denied the appeal. Does anyone have experience in this area? Am I liable to the winning bidder or am I covered. If he does not receive the insurance claim, he might come after me. Any suggestion and or comments would be appreciated. Thanks in advance for your time and input.


Asked on 4/20/03, 11:18 pm

1 Answer from Attorneys
Steven Afton IMMIGRATION ADVOCATES

Re: Post Office Claim Denied

First, make a claim with your homeowners insurance carrier; they may or may not deny the claim, but at least you can preserve that avenue--tell them the other insurance carrier screwed you over, and ask your carrier to pay the claim (a theft loss) and then to "subrogate" against the other carrier (you should not be caught in the middle--it'll be between the two carriers to duke it out).

If your homeowners carrier denies the claim (they may have an exclusion in the policy), then you may be able to file suit against the other carrier (the one that screwed you over) in district court, for breach of contract. Draft up a complaint and attach the contract, and file it in the district court handling the area where you live. Just because the insurance company "denied" the claim and the appeal doesn't mean squat until a court of law makes a ruling.

Good luck!

Steve Afton

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Answered on 4/21/03, 10:43 am


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