Aboulafia Law Firm successfully compelled an insurer to participate in appraisal on behalf of a homeowner in Rockland County, New York. The insured’s home was damaged when a pipe froze and burst, and the insured submitted a claim for approximately $187,000, covering repairs to the bathroom, closets, stairs, bedrooms, and floors, as well as personal property and additional living expenses. The insurer offered only about $11,000, and issued a partial denial limited to damage to the stairway carpet, a small piece of the overall claim.
The insured demanded appraisal of the covered damage, excluding the stairway carpet, but the insurer refused, pointing to its partial denial letter. The Supreme Court, Rockland County, sided with the insured and compelled the insurer to participate in appraisal, noting that the appraisal demand excluded the stairway carpet (the one item with a genuine coverage dispute) and included only the undisputed, covered portions of the loss, which made up the bulk of the claim. The decision confirms that an insurer’s partial denial does not excuse it from appraisal of the covered portions of a loss.
Read the Decision below:
For more on appraisal of partially covered claims, see our article, Appraisals for Partially Covered Claims.