Policy Reformation or retroactive coverage Kala Barnard asked 2 years ago
Policy Reformation or retroactive coverage

My home was destroyed by fire on 2-12-23. My agent refuses to talk to me, the adjuster will not send me any field adjuster reports. I did find out that my policy was written up using incorrect data such as square footage and a very visible fireplace was not showing on house when they inspected it which has been there since house was built. My insurance company had issued and reissued my policy twice last year and the 2nd time they reduced the square footage again by almost 1000 feet.

I think they realize they have messed up because they are offering a reformation retro policy back to a CoreLogic estimator report they came up with that did not even match my house features. I refused to accept that and now they have sent out a civil engineer to correctly document the house. I am waiting to see if they reissue a new reformation policy to cover what will surely be an additional cost to rebuild report.

Does anyone think I have a case against them for anything for all this mishandling of my policy?

2 Answers
Jim Beneke Jim Beneke Expert answered 2 years ago
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The question of whether your agent may be negligent in the creation of your insurance policy is a legal question. Different states have different standards for such liability. My layman’s understanding of Texas law is that agents have less of a duty to you than they might in some other states. However, I encourage you to share your story with a qualified attorney and get their advice.

The damages from your loss are a different story. The adjuster or building consultant should estimate all the damage they can see, regardless of whether certain items were in the underwriting report. Such as the fireplace. As long as your damages fall within the current policy limits, you should be okay. If your damages exceed the current policy limits, then the question of underwriting (and who is responsible) becomes more important. If they refuse to share their estimate, I would engage a public adjuster to assist, or provide a bona fide general contractor’s proposal for the repairs and demand a response. If they continue to refuse to discuss it, you will likely need to engage legal counsel.

Answer for Policy Reformation or retroactive coverage United Policyholders Staff answered 2 years ago
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Hi Kala,

We list some attorneys with experience in insurance matters on our website, in case you decide to reach out to one of them: https://uphelp.org/sponsor-location/texas/