Articles Posted in Home Owners Policies

Attorney fees are almost always a part of insurance claims.  What too many people don’t realize are the requirements for being able to recover those fees.  Those requirements may differ depending on the type of insurance claim.  Here is a January 2025, opinion from the Northern District of Texas, Dallas Division, that deals with attorney fees under Texas Insurance Code, Section 542A..003.  The opinion is styled, Betty Hearn v. Allstate Vehicle and Property Insurance Co.

This is an insurance coverage dispute stemming from hail and wind damage to Hearn’s property.  On June 28, 2023, Hearn, through her counsel, sent a notice letter to Allstate of her intent to file suit, which included an amount for “actual damages,” “attorney’s fees to date,” and a total value, “less any amounts paid and any applicable deductible.”  The letter states it is intended to serve as notice pursuant to Texas Insurance Code section 542.003A.

Texas Insurance Code section 542A.003 requires “not later than the 61st day before the date a claimant files an action . . . the claimant must give written notice to the person in accordance with this section as a prerequisite to filing the action.”  “A court may not award to the claimant any attorney’s fees incurred after the date the defendant files the pleading” proving the defendant was entitled to, but did not receive, a proper “presuit notice stating the specific amount alleged to be owed by the insurer.”

Here is a homeowners claim for water damage.  The law is specific to the facts of the case and serves as a good example of how courts look at this issues.  The opinion is a 2024 opinion from the Corpus Christi Court of Appeals and is styled, Texas Windstorm Insurance Association v. Valstay, LLC.

This is appeal by TWIA from a summary judgment.

The question before this Court is which party, the insured or the insurer, carries the burden of proof to show that the complained of damage occurred within one year of the claim being filed pursuant to § 2210.573(a) of the Texas Insurance Code: That provision states: “Subject to [§] 2210.205(b), an insured must file a claim under an association policy not later than the first anniversary of the date on which the damage to property that is the basis of the claim occurs.”  TWIA argues that the one-year deadline is a prerequisite to suit, making it Valstay’s burden to prove it filed a timely claim.  In response,Valstay argues that the one-year deadline is an affirmative defense held by TWIA, which TWIA carries the burden to prove. The Court agreed with Valstay.

Home owner claims for water damage are tricky.  Most people will rarely read the homeowner policy they purchase.  And most people do not realize that many homeowner policies do not cover water losses.  Here is a 2024 opinion from the United State Fifth Circuit that deals with a water claim.  The opinion is styled, Rodolfo Benitez v. AmGuard Insurance Company.

After a botched pool-deck renovation caused surface water to seep into his rental property, Rodolfo Benitez brought coverage and extracontractual claims against his homeowners insurer, which were dismissed on summary judgment.

The undisputed evidence attributes Benitez’s loss to surface water and faulty workmanship, which the policy excludes from coverage.

Here is a 2024 opinion from the Southern District of Texas, Houston Division, wherein the insurance company, State Farm Lloyd’s, is refusing to pay the claim because State Farm believes the insured cause the fire on purpose in an effort to collect insurance monies.  The opinion is styled, Raynelle King v. State Farm Lloyds.

On November 18, 2018, a late-night fire broke out in King’s home, and King filed a claim with State Farm.  Arson investigators later found gasoline residue in debris samples from the room where the fire started.  King was apparently in considerable financial distress at the time.  As a result, State Farm denied King’s claim alleging that she had set fire to her own home.  King sued, arguing that State Farm wrongfully denied her claim.  State Farm has now filed a Motion for Summary Judgment. State Farm asks the Court to find that King committed arson and therefore cannot recover under the policy.  After careful review, the Court finds that there is a genuine dispute of material fact, and State Farm is not entitled to judgment as a matter of law.  The Court, therefore, DENIES the Motion.

On the night of November 18, 2018, Plaintiff King’s house caught fire, which caused extensive damage.  At the time, King held a homeowner’s insurance policy from State Farm that covered fire loss, among other things.  King submitted a claim for damages under her policy, which State Farm denied.  King sued State Farm for failing to pay out her insurance policy.  She asserts various causes of action under

Insurance lawyers handling water damage claims under homeowners policies need to dread this 2024 opinion from the Western District of Texas, San Antonio Division.  It is styled, Ghassan Abulehieh v. State Farm Lloyds.

This is a water damage claim under a homeowners policy wherein the insureds assert a plumbing leak in a master bathroom resulted in water damage and mold growth to adjoining areas of the house.  The facts of the case can be gleamed from reading the facts in the opinion.

Here is the reasoning the Court used to deny State Farm’s motion for summary judgment.