When you suffer property damage and need to file an insurance claim, you expect the insurer to pay your claim on time and in full. Although this does happen sometimes, reductions and denials of some claims happen, too. If you believe your insurance company is violating the Texas Insurance Code and mistreating you, you may need legal help.
Even if you follow all the steps required to recover from a storm, the insurer might not pay your claim when expected. Such payment delays or denials can be devastating when trying to restore your property.
How the Texas Insurance Code Works
Because insurers sometimes treat clients unfairly when they’re making a claim, the Texas Insurance Code protects policyholders. This code specifies the Texas insurance coverage rules that insurance companies must follow. It also identifies the rights you have as a policyholder.
Texas insurance laws are part of the code. These Texas insurance statutes protect policyholders by requiring that insurance companies:
- Don’t unreasonably deny valid claims
- Don’t delay paying valid claims
- Don’t misrepresent the policy’s coverage requirements
Should the insurance company act in bad faith, these Texas insurance regulations give you as the policyholder, the option of taking legal action. You can seek compensation for your losses through this legal action.
Following the Rules When Reporting Your Claim
Navigating the insurance claims process successfully requires following all of your Texas insurance policy requirements. You also will want to take extra steps when reporting the claim, such as keeping copies of everything you submit. It’s a good idea to:
- Take photographs and videos of the damage
- Maintain written records of repairs you made
- Keep all records of estimates for future repairs
Additionally, keep notes about which documents you’ve submitted to the insurer and the dates you sent them. Some Texas insurance compliance rules contained in your policy may require you to provide certain information within a specific deadline. Understanding all the laws that are part of your policy will help you receive protection under the Texas Insurance Code.
How Insurance Companies Treat Customers Unfairly
If this is the first time you are making a claim, the number of rules you have to follow might catch you off guard. It also may catch you by surprise if the insurance company tries to reduce or deny your claim.
Insurance companies are for-profit companies. They increase their profit margins by reducing the amount they pay in claims to policyholders. In other words, insurers have a financial incentive to try to avoid paying you the total amount of your claim.
Some claim reductions or denials are legitimate. Others, though, occur unfairly and violate the terms of the Texas Insurance Code. Insurance companies often count on the fact that you may not completely understand your rights and the terms of your policy. They hope you’ll just accept the insurer’s decision.
However, you have the right to dispute insurance company decisions regarding your claim, such as:
- Incorrectly interpreting your policy’s provisions
- Misrepresenting the level of damage to your property
- Undervaluing the cost of the repairs
When you hire our legal representatives to help with your policy claim, we can identify any violations the insurance company is committing. Should we be unable to negotiate a satisfactory outcome with the insurer, we can initiate a bad-faith legal claim on your behalf.
Call McLaurin Law, PLLC Today
If you are unsure whether your insurance company is following the Texas Insurance Code properly, you may need to seek legal representation. At McLaurin Law, PLLC, we are ready to begin working on your case immediately. To schedule a consultation with us, call 713-804-7598 today.
