Hail Happens: Protecting Yourself with Hail Damage in 2024

The pitter-patter of hail on your roof sounds peaceful at first. A seemingly peaceful hailstorm can morph into a stressful financial burden for homeowners and car owners. 

You may have the best coverage and protection but insurance companies could still refuse your claim or offer a skimpy settlement. That’s when attorneys for insurance claims for hail damage step in, acting as your advocate during a stressful time.

According to a 2023 report by the National Oceanic and Atmospheric Administration, hailstorms cause an average of $1 billion in insured losses annually. The threat of hail damage is anticipated to grow in the years ahead as climate change brings more frequent and severe storms.

Understanding the Rise of Hail Damage Claims

Data from the National Insurance Crime Bureau (NICB) reveals a concerning trend: a significant increase in fraudulent hail damage claims. In 2023, the NICB reported a 67% jump in suspected fraudulent hail claims compared to 2022. 

This rise is attributed to organized crime rings targeting specific areas after hailstorms and manipulating repair estimates. The increase in fraudulent claims makes it even more important for legitimate claimants to have strong legal representation.

As per VandenBout Law, hail damage claims can be a tricky business. Their complexity makes it easy for insurance companies to deny or lowball payouts. They might downplay the damage and claim it wasn’t caused by the hail. Or they could blame it on pre-existing issues like wear and tear, faulty installation, or manufacturing defects.

When to Hire a Hail Damage Attorney

Not every insurance claim denial necessitates legal action. However, some situations clearly benefit from an attorney’s expertise. These are some major red flags to watch out for:

• Complete claim denial: If your insurance company denies your claim entirely, citing reasons you believe are invalid.
• Undervaluing your property: Insurance companies may try to lowball you on the repair costs.
• Delays and communication issues: If your insurance company is dragging its feet on processing your claim or isn’t communicating effectively, an attorney can apply pressure to expedite the process.
• Bad faith practices: In some cases, insurance companies might engage in bad faith practices, such as denying coverage without proper justification or failing to investigate your claim thoroughly. An attorney can hold them accountable and pursue legal action if necessary.

Some insurance policies have strict time limits for reporting damage, which is problematic for hail claims where the damage might not be discovered immediately. For example, a leak caused by hail that only shows up during a heavy rainstorm. A recent Colorado Supreme Court decision favors homeowners. It states that insurers can’t deny coverage solely due to late reporting unless it harms their investigation.

The majority opinion is that this decision prioritizes compensating policyholders and preventing insurers from using technicalities to avoid payouts. The worry of the minority is that the majority’s ruling could affect insurance pricing.

Possible solutions include: 

1. Different reporting deadlines for hidden damage vs. obvious damage
2. Homeowners being more proactive in inspecting their property.

Resources and Support for Hail Damage Claims

Most homeowners insurance covers wind and hail damage to your house (roof, siding, windows) and even wind-driven rain entering through those openings. The main dwelling coverage pays for repairs or replacements and might extend to attached structures like garages. Detached structures likely fall under separate coverage.

Replacement cost coverage is ideal, but some insurers might limit older roofs to actual cash value which considers depreciation. This means a lower payout for replacements. Upgrading your policy for replacement cost coverage on a newer roof might be wise. Finally, check your policy for exclusions – some materials like aluminum awnings might not be covered.

Check out these resources that could provide further assistance:

• National Insurance Commissioner: This government agency can provide information about your rights and how to file a complaint against your insurance company.
• National Association of Public Insurance Adjusters (NAPIA): NAPIA can connect you with a qualified public adjuster who can assess your hail damage and represent your interests during the claims process.
• Roofing Contractors Association: This organization can help you find reputable roofing companies to repair your hail-damaged roof.

News Updates: 2024 Hail Season and Legal Battles

As of June 2024, several states have already reported significant hail damage from spring storms. Texas, Oklahoma, and Nebraska have been particularly hard hit, with homeowners and businesses facing millions of dollars in losses.

A class-action lawsuit was filed against a major insurance company in May 2024, alleging widespread denials and underpayments of hail damage claims in Colorado. 

Residents in Illinois and Indiana are facing difficulties obtaining fair compensation for hail damage to their roofs. Many claim their insurance companies are either denying claims entirely or offering significantly lower settlements than the estimated repair costs.

Data shows a surge in complaints against insurance companies since 2022, with State Farm leading the pack.

State Farm claims they have assisted numerous customers affected by the recent hail storms and have paid out a substantial amount in these two states. They highlight their large customer base in Illinois.

Allstate maintains they handled Castrejon’s claim according to her policy and emphasized their strong position in the Illinois market.

The Illinois Department of Insurance (IDOI) encourages residents to submit complaints, which will be investigated for potential policy violations. The department aims to ensure insurance companies adhere to their policies and provide fair compensation to policyholders.

This situation highlights the importance for homeowners to be aware of their rights and to document any property damage with photos and videos. Filing a complaint with the state’s department of insurance can be a valuable recourse if you feel your claim has been unfairly handled.

FAQs

How do I find the right hail damage attorney?

With the growing demand for hail damage legal representation, numerous attorneys specialize in this area. When seeking a hail damage attorney, prioritize experience. Local knowledge is also crucial – choose one familiar with the laws and regulations governing hail damage claims in your state. Find an attorney you feel comfortable communicating with and who keeps you informed throughout the process.

Does my home insurance cover hail damage?

Most homeowners insurance covers wind and hail damage to your house (roof, siding, windows) and even wind-driven rain entering through those openings. The main dwelling coverage pays for repairs or replacements and might extend to attached structures like garages. Check your policy for exclusions – some materials like aluminum awnings might not be covered.

I want to go up to my roof to inspect for hail damage — is that okay?

While this is a tempting thing to DIY, prioritize safety. Roof walking is dangerous, especially after a storm. Schedule an inspection with a qualified and insured roofer to assess damage. Obtain a written report detailing the extent of the hail damage to help with your insurance claim.

This article acknowledges the fact that tail damage can leave you feeling overwhelmed and uncertain. But remember, you’re not alone. By familiarizing yourself with your insurance policy and understanding your rights as a homeowner, you can navigate the claims process with confidence. Knowledge is your best defense against unfair treatment.