In another victory against insurance companies, Brasher Law Firm secured another victory for a policyholder. Brent and Maria Morgan owned a 4-Plex in College Station, Texas, and insured it through United Fire Lloyds. Of the four units, one was leased to a tenant, two were being shown to potential renters, and one was retained for the Morgans when they traveled to Texas. They also had a home in California.
In October 2013, a pipe leak caused water damage to a 4-plex in College Station, Texas. The claim was reported and, within 13 days, the insurance company denied the claim citing the vacancy clause in the insurance agreement. Of the four units, only one was leased, one was retained by the owners as their own, and the other two were available for lease. The owners had not been to their unit in over a year before the loss and the other two units had not been leased during that time.
The jury found that there was coverage under the policy and that the insurance company breached the agreement by not paying the claim. The jury found that the defendant’s conduct was in bad faith and found a knowing violation but did not award damages for punitive conduct. The award of attorney fees of $290,000 through trial and additional monies in the event of an appeal is what was requested by the plaintiff. Defendant sought a 50% reduction of the fees if the jury found them responsible. Defendant’s position in the case was that they did not breach the contract because 3 of the units were vacant and the policy required at least 31% use.
This is another victory in a string of victories for the Brasher Law Firm against insurance companies. Brasher Law Firm prides itself on fighting on behalf of policyholders and making insurance companies pay for claims that should be paid.
When an insurance company fails to meet its obligations under the law, you may need help to get the right outcome. Our team of Beaumont Bad Faith Attorneys know the law and can help you fight for the full compensation you deserve. We have successfully helped our clients recover millions of dollars and are ready to provide the aggressive and passionate representation you need.