When a hurricane hits, sizable damage can occur. Entire communities can be devastated. Property owners may feel real losses as they try to get their lives back on track. However, insurance companies are often under immense pressure during these times. Emotions may be elevated. Problems can become even more pronounced when hurricane claims are denied. Mediation can help resolve many legal issues related to claims, including:

Coverage

Disputes may arise when the parties do not agree about whether claims are covered under the policy. There may be differences in claims related to water or flood damage as opposed to wind damage. Certain natural events may be excluded altogether. A payment issue may have caused a temporary lapse to occur when a hurricane struck. Insurance companies and property owners may be able to resolve coverage disputes with the help of a trained third party neutral.

Evaluation of Property Claims

One of the most common disputes related to insurance claims is the cost to repair or replace damaged property. It is not uncommon after a natural disaster for local contractors to take advantage of the situation and to provide high quotes for repairs, leaving property owners and insurance companies at odds. Mediation can help provide efficient resolutions of these disputes. A mediator may be able to recommend options that both parties may agree to, such as choosing a neutral third party to complete an appraisal of the cost of making such repairs.

Fraud Claims

Insurance adjusters may be concerned about parties trying to take advantage of a natural disaster by making claims based on damages that were not otherwise covered. Property owners may be concerned that insurance companies are fraudulently denying their claims. Mediation can help clear up misunderstandings and avoid fraud claims from either side.