Q: Can we claim damage on a property that was sold if the claim was made prior to sale?

Our home in Texas had suffered roof damage due to hail. We opened a claim with insurance company. They delayed sending the check for repairs. Meanwhile the home got sold at a much reduced price. Insurance company later sent the check, but it had both ours and the mortgage company's names.

1) Can we cash this check? Neither do we own this property anymore nor do we have any mortgage on it. But we did open the claim prior to the sale, while we owned it, and had to take a price reduction due to the condition of the home.

2) If we can cash this check then we need to ask the insurance company to send another check that has just our names on it, right?

1 Lawyer Answer
Tim Akpinar
Tim Akpinar
  • Insurance Claims Lawyer
  • Little Neck, NY

A: A Texas attorney could answer best, but your question remains open for three weeks. If you were represented by an attorney in the sale, they would be in the best position to advise. But as a general matter, you may have signed a release that reflects your acceptance of money damages for the property damages involved. If the check you received is consistent with the figure on the release, that check could be it.. with no more coming once it's cashed (also subject to the fine print on the check). But that's only a GENERAL GUESS based on ordinary insurance practices nationwide. If you consulted with a Texas attorney who had access to more information on the details of the insurance claim, breakdown of benefits, property adjuster's report, liens on your property, etc., they could answer more accurately. Good luck

Tim Akpinar

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