HAIL DAMAGE INSURANCE CLAIMS

Many homes, businesses, farms, and industries have been affected by damaging hail in this year’s storms, and—although the losses can be extreme—it isn’t all that uncommon. In fact, hail is responsible for an overwhelming number of insurance claims every year, making it one of the most costly weather events for policyholders and insurance companies alike.

Despite hail being a common cause of property damage, or maybe even because it is so common, many policyholders underestimate its destructive power. However, being unprepared for a hail storm could turn into a costly mistake. No matter what kind of property you own, here are some important things to understand about hail.

What Is Hail?

The National Severe Storms Laboratory (NSSL) explains that hail is created when water travels upwards inside a thunderstorm and freezes in the colder air at the top of the storm. As it travels back downwards and is blown upwards again, it melts and refreezes multiple times. Each “layer” of frozen water adds to the size of the hailstone until it is too heavy to remain in the air and falls to the ground below. Hailstones can range from the size of a pea to the size of a softball or greater. According to the NSSL, the biggest hailstone on record measured a whopping eight inches across, more than 18 inches around, and weighed nearly two pounds.  

Since hail is created in strong thunderstorms, serious hail storms are most likely to occur during the peak storm seasons in a given area. However, severe storms and hail are possible any month of the year and just about anywhere. In the United States, hail storms are common in every state, but they are most common in the region where the states of Nebraska, Colorado, and Wyoming meet—an area that the NSSL refers to as “hail alley.”

Although there are many different kinds of losses that can come from a heavy pelting of hail, hailstones can be especially damaging to:

  • Roofs

  • Siding

  • Windows

  • HVAC equipment

  • Vehicles and machinery

  • Crops

Hail is also often accompanied by other damaging weather, such as high winds, heavy rains, and even tornados. While damages from the accompanying storm may also be covered under the insurance policies you carry, it can create confusion when claims for different types of damage must be submitted differently or to a different insurer.

Tips for Ensuring Adequate Payments from an Insurer to Properly Replace a Hail Damaged Roof

  • Immediately notify the carrier of all damage.

  • Inform the insurance adjuster that an expert needs to determine the condition of the entire roof system, in addition to areas immediately visible.

  • Review the property insurance policy to determine which provisions may apply to the damage. If a complete copy of the policy is not available, make a written request to the adjuster to obtain a complete certified copy of the policy (including all endorsements) as soon as possible.

  • Retain an expert in roof repair and replacement to perform non-destructive testing in conjunction with core cuts to determine if the damaged top layer (i.e., EPDM, TPO, Built-Up, Modified Bitumen, shake shingles, asphalt shingles) can be replaced with or without additional work to substrate, insulation, sheathing or decking based on code and manufacturer specifications for repair/replacement.

  • Document everything including test results, photos of all substrate layers down to the roof deck, and the expert’s findings.

  • Provide the adjuster with maintenance records, which may show the roof functioned properly until the date of loss.

  • If your expert/roofing contractor determines any substrate, including the structural deck, must also be repaired or replaced in order to put the roof back to its pre-loss condition and functionality, immediately provide this information to Your insurer.

If Hail Damage Insurance Claims Are Common, Why Do Policyholders Have So Many Problems?

Almost every kind of property is at risk for damage in a hail storm. Even though hail damage insurance claims are extremely common, the process of resolving a claim isn’t always easy or fast. There are numerous kinds of problems that can come up when you submit a claim for losses, but these challenges often arise because:

  • Different kinds of damage in a storm make claims confusing. As noted above, hail damage in a severe storm may be treated differently under your insurance policy than, for example, the water damage caused by a roof puncture in the same storm. This is why it becomes so important to carefully estimate and assess the losses you sustain, determine the cause of the damage, understand your coverage, and make sure claims are submitted correctly.

  • It’s a common and costly weather event, so insurance companies often try to pay as little as possible for losses. Some have called it the “war on hail,” but it’s not uncommon for insurance companies to actively attempt to reduce the amount they must pay to policyholders affected by hail damage, especially when large regions are affected. To truly ensure their hail claims are fully paid, policyholders need to have a strong understanding of both their policies and their rights.

  • There are many steps involved in negotiating with adjusters on a hail damage insurance claim. From making sure you document all the potential covered property damage which accounts for local codes and ordinances, complying with your own obligations during the claim adjustment under the policy, or hiring trustworthy contractors to deciding whether or not to accept an offer from the insurance company, there are a lot of steps—and a lot of research—involved in determining an appropriate scope of loss to maximize coverage under a valid hail damage insurance claims .

Increasingly, insurance companies have taken the position that the reported rise in hail insurance claims over the last several years was due to unscrupulous contractors or public adjusters. In fact, if you are an insured with a commercial hail insurance claim, your insurance company may choose to identify hail damage to your roof or property as prior unreported or undiscovered roof damage. In this case, your policy does not cover the damage because the insurance company (or its retained third-party biased engineers) claims the hail marks did not occur during the policy period. Unfortunately, these insurance companies often ignore or disregard property inspections performed as part of the underwriting process in which no such damage was noted to the roof at the time the policy was initially procured.

Insurers can take aggressive positions against the insured’s interests concerning the carrier’s financial liability for such hail and wind damage claims. The insured must be prepared to fairly investigate and fight against the insurance company for what they deserve under their insurance policy. If you need help, or if you aren’t sure about your rights as a policyholder, don’t hesitate to reach out to our experienced attorneys with your questions.

What Is Cosmetic Damage in a Property Insurance Claim?

Cosmetic damage exclusions largely apply to the exterior elements of a business, such as the roof, siding, windows, or doors. It’s generally defined as damage that affects the appearance of a property but does not interfere with the function of the damaged area. For example, when hail dents a metal roof, the carrier may contend the damage is to be considered cosmetic if there are no punctures, leaks, or other damages that compromise the function of the roof.

Individual policies vary quite a bit in how they cover damage to the appearance of a property, and the coverage can be surprisingly difficult to understand. For example, some policies exclude cosmetic damage, but will technically cover direct physical loss from hail, even if it did not involve structural damage. What this means is, in some policies, a dented roof may be excluded, but a roof dented by hail would be covered.

In practice, what the insurance company considers cosmetic damage is rarely straightforward. In the example of the dented metal roof, what happens if the dents have subtly affected drainage, runoff, or seals? What happens when repairs for cosmetic damage to a home or business cost tens of thousands of dollars? It’s truly confusing, and this is why it’s important to call your insurance company and ask specific questions about your coverage. If you don’t have a good understanding of the insurance industry and its lingo, the guidelines of the policy may seem murky when you really need to know if your storm claim will be accepted.

Why Choose Lundquist Law Firm?

All of our attorneys previously defended carriers in these exact types of disputes. Unlike most firms, this is all we do—our entire practice is dedicated to helping policyholders get the just compensation they deserve for their properties following storms. Indeed, for over 20 years, we have helped policyholders with their hail damage insurance claims, collecting almost $100 million in confidential settlements from carriers for our clients. Additionally, as a smaller firm, we offer greater attention to detail and a hands-on approach. No matter how solid your claim, insurance companies will always look to protect themselves and try to avoid paying you what you are owed. We are a nationally recognized bad faith insurance litigation law firm that is familiar with the tactics insurance companies often use to deny claims. Our attorneys counter with successful strategies, including hiring professional roofing inspectors, engineers and meteorologists to fully inspect the nature of the damage to find clear, physical evidence of property damage covered under the specific terms of your policy. This allows us to have a detailed, comprehensive estimate of the real damage to your property and how much we should seek in claim compensation on your behalf. Our attention to detail and use of professional experts, contractors, and engineers sets us apart from other insurance litigation firms. We approach each case as though it is going to trial, not just settlement, appraisal or mediation.

Want your lawyers to have a proven track record? Since 2017, in addition to our co-counsel, we are the only law firm who successfully went to trial on a commercial property insurance claim against any insurance company stemming from a denied Hurricane Harvey claim—obtaining a record-setting verdict in the process. The final judgment was entered by the judge for over $4.200,000, which TopVerdict determined to be the #1 Texas verdict against any insurance company in 2020.  On October 3, 2024, the Thirteenth Court of Appeals affirmed our state court judgment and rejected all the carrier’s arguments.

How Our Firm Can Help

At Lundquist Law Firm, we are experienced in dealing with insurance company defense tactics and know how to fight back on behalf of policyholders by confirming weather history for the affected property, thoroughly documenting the existing damages, obtaining and reviewing previous property inspection reports (including inspections performed by the insurance company as part of their underwriting process), and hiring qualified causation, damages, and insurance bad faith experts to prove your case in court against the insurance company. If you decide to contest your insurance company’s coverage decision, they will spend whatever it takes to hire their own attorneys and experts to defeat your claim. If the insurer’s conduct has been particularly inappropriate, you may have a bad faith action against the insurer depending on the state. For recovery under your policy, and for bad faith litigation, it is important that you have experienced hail damage insurance claim attorneys on your side. Lundquist Law Firm will fight the insurance companies on your behalf and ensure that your insurance claims are honored.

We work on a contingency-fee basis, which means you owe us nothing if we are unsuccessful. And we handle hail claims prior to litigation at a significantly reduced contingency fee. We also front the case expenses necessary to combat the insurance company in litigation. We promise to aggressively pursue your rights under the insurance policy if your hail claim was delayed, underpaid, or denied. Of note, the Texas Department of Insurance has found that engaging the services of an advocate increases an insured’s payment on a property insurance claim by an average of 308%.*

Contact a Hail Damage Insurance Claims Lawyer

If your business or home was damaged by a hailstorm and your insurance claim is being denied, underpaid, or put on hold, contact the hail damage lawyer of Lundquist Law Firm. Challenging an insurance company can be intimidating, but our experienced lawyers are committed to helping clients fight for compensation. For more information and a skilled assessment of your claim, contact us today by calling (346) 704-5295 or send an email using the Contact Us below.