Your home was damaged by Hurricane Sandy. You did the right thing, and filed a claim with your homeowners insurance company. Your insurer still hasn’t dealt with your claim, or has flat out refused to cover the damages. What can you do? Here is some advice that may help.
The governors of some states have told insurance companies that they cannot enforce hurricane deductibles on storm-related claims that resulted due to Hurricane Sandy. This is because the National Hurricane Center declared Sandy to be a “post tropical storm” shortly before it made landfall in their states.
This means that if you live in New Jersey, New York, Connecticut, or Maryland you shouldn’t have to pay for a hurricane deductible before your insurance company starts to help you. If your insurer insists that you must pay a hurricane deductible, there is potential that you will be able to fight that.
There are some insurance companies that are trying to get around having to help their customers by insisting that the damages to their homes came from flooding. Homeowners insurance policies don’t cover flooding. If your insurance company is attempting to use this “loophole”, there are some things you can do about it.
Do you have flood insurance? If so, then try filing a claim there. Hang on to the letter your homeowners insurance company sent you that states that they won’t help you because the damage is due to flooding. It might be useful!
FEMA has Disaster Aid Programs that can help people who have had their lives affected by a disaster, (such as a hurricane). Their Individual Assistance Program might help you. You can start by contacting the disaster workers sent by FEMA who are working in your area. Or, there may be a toll-free number to call.
The Individual Assistance Program has a portion called Disaster Housing. Your family can get funding for housing repairs and replacement of damaged items to make homes habitable. The funding can last for up to 18 months.
Another portion of the program is called Disaster Grants. It provides financial assistance for people in order to help meet serious disaster related needs and necessary expenses that are not covered by insurance. That letter that your insurer sent you that stated its refusal to help you could come in handy here.
FEMA also provides low-interest disaster loans. These are available after a disaster for homeowners and renters. Loans may be available for repair or replacement of homes, automobiles, clothing (and other damaged property), and other uninsured property losses. Small businesses can be eligible for a low-interest disaster loan.
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