Insurer nonrenewing policy w/ unsettled claim - CA - Posted by Greg

Posted by Greg on January 25, 2005 at 11:41:56:

I’ve been talking to the dept. of insurance but have not yet filed a complaint. I’m hesitant to do so until I know that the insurer is actually violating some law.

The fire was not due to a disaster in a state or federal disaster area.

I finally got up the moxy to call the lender directly yesterday. They say that they will not call the loan. They will impose a policy on me that will protect them (& the condition of the property will not be an issue).

For me the downside of the non-renewal has melowed a lot. I’m still somewhat interested in seeing if my insurer can be forced to renew.

I’m also at a point where I need to find alternative coverage to cover myself.

Insurer nonrenewing policy w/ unsettled claim - CA - Posted by Greg

Posted by Greg on January 24, 2005 at 01:00:40:

I have a SFR property in CA that was severely damaged by a fire. The resulting insurance claim has not yet been settled. My insurance company is non-renewing my policy (and gave > 45 days notice). It will be impossible for me to have the property repaired by the time the non-renewal takes effect. I would like to have the insurer renew my policy as I am concerned that I will be unable to get a new policy on a property in this condition and that my lender will call the loan (eg. foreclose) once the property is uninsured.
I have done some reasearch and determined that many lenders (including the CA Fair plan) will not insure a damaged property.

There is a California law (ab2962) which may be relevant to my situation which would prevent them from non-renewing if the loss was a ‘total loss’. I am hoping that this law will apply to my case, but I’m not sure what the law considers a ‘total loss’.

I have a couple questions:

  • Is there a way that I can insure and severely damaged property such that the lender will protected and be unable to call the loan? (Perhaps a course of construction loan?)

  • Can I force the insurer to renew my policy? How do I determine if the damage constituted a ‘total loss’ - especially considering that my claim has not yet settled.

  • Does anyone have recomendations for CA Attroneys who deal with Home insurance?

Thanks,
-Greg

Insurer nonrenewing policy w/ unsettled claim - CA - Posted by chet

Posted by chet on January 24, 2005 at 20:13:59:

You might want to file a complaint w/ the Insurance commission, sometime helpful, often not.

Was this fire due to any of they natural disasters that were state or federal disaster area? If there insurance available thru them?

If you’re in the san jose area, I can recomend a couple attys I like.