Houston, TX asked in Insurance Defense, Bankruptcy and Personal Injury for Texas

Q: Will the insurance company rebuild my home or just use the money to payoff a claim?

An explosion caused me both to lose my house and to be liable to a person for her injuries on my property. I am insured for $100k for the house and another 100k for the liability, but the person I am liable to is suing me for well over $200k. Will my home be rebuilt, or will all the money just be handed over to the person to whom I am liable to? Having a hard time getting definitive answers from my insurance company.

3 Lawyer Answers
Rahlita D. Thornton
Rahlita D. Thornton
PREMIUM
Answered
  • Houston, TX
  • Licensed in Texas

A: You should consult an attorney who handles property damage casualty claims or bad faith claims by insurance companies. More facts need to be elicited. But, in general your insurance company has a duty to act in good faith on your behalf. A lot of times the insurance companies do not look out for their insured's interest first. Even if you do not hire an attorney ask the insurance company to keep you updated with any settlement negotiations with the other individual whom you may have a duty to pay. Good luck.

Timothy Denison
Timothy Denison
Answered
  • Bankruptcy Lawyer
  • Louisville, KY

A: They may pay the money into escrow and then let the court decide who gets the money in the underlying suit or they may pay you directly for the loss, given the fact that the claim against you is disputed and unliquidated. It’s really up to the insurance company.

Tim Akpinar
Tim Akpinar
Answered
  • Little Neck, NY

A: This appears to be a complex case that could take time to be investigated and evaluated. The insurance carrier at this point may still be in the process of gathering information and figuring out what it is going to ask during the discovery process.

Tim Akpinar

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.