Q: I am in agreement that the “Sinkhole Survey” inspections are an underhanded (and illegal) tactic to reduce their liability. FS 627.706(1)(b) states that the “…insurer shall make available, for an appropriate additional premium, coverage for sinkhole losses on any structure.” It goes on to say that the insurer can inspect the property prior…
Q: There has been considerable and alarming damage to my home and we have been relocated. Can you explain how temporary housing works? Is the cost of housing separate from the repair of the sinkhole? This is a common question with a very abstract answer. Generally, most homeowners insurance policies contain coverage for what…
I will say with honesty that how an insurance company determines how much coverage you are required to carry or how much to charge in premiums is something that I will never understand. I have had numerous situations both before and after I represented insurance companies that insurance adjusters and their supervisors have admitted to…
Q: My neighbors behind me are having sinkhole repair. I felt a rumble under my home. Now we have a large section of grass on the side of our home that has caved in. We believe it is a sinkhole. I called my insurance co. They said oh, well, you are only covered for…
This is an issue that arises in some claims, especially where the homeowner owns a larger lot or acreage. Insurance policies in Florida do specifically state that they carrier only insures the house and not the land the house sits on. This language was hotly debated many years ago as insurance companies argued the theory…
This is a common question we receive from homeowners and clients and involves many different angles and sub-parts. One more specific question is if I filed a claim and they denied sinkhole at my home should I continue to carry sinkhole coverage? Reviewed in a vacuum I suppose that if you have had your home…
This is an excellent question that I am not sure has a clear cut answer. We do know that virtually in every case your lender for a mortgage can require insurance on the property. If a homeowner fails to secure insurance, the bank can apply what we call a force place policy. This is when…
Selling to a sinkhole-distressed investment company is a very good option for some of our clients. These companies will typically purchase a sinkhole-distressed property that has not been repaired for a significantly low value and then fix it and sell it for a profit.
Understanding the difference between standard insurance coverage and catastrophic ground cover collapse is key to making a quality decision with regard to sink hole insurance coverage.
The State of Florida has established a legal definition of sinkhole and sinkhole loss that governs the homeowners insurance companies.
