Almost all insurance claims, 95 percent, from last year’s hurricane season have been settled. The Property Casualty Insurers Association of America (PCI) believes the recent ruling by Judge Bates will have “little impact for the majority of residents.”
Greg La Cast, assistant vice president and regional manager for PCI feels insurers are generally flexible and willing to take into consideration individual circumstances when trying to settle an insurance claim in a timely manner. La Cast said, “From the very beginning insurers have worked with consumers who have legitimate disputes and there is a clear indication from the insurance industry that on a case-by-case basis companies would not strictly enforce the normal 12-month prescriptive period.”
La Cast further thinks, “By rewriting the insurance contract, Louisiana is threatening the sanctity of all contracts and sending a very chilling message to the business community. The ability of the state to re-write contacts could create a level of uncertainty that hampers the rebuilding effort."
Am I the only one that thinks what La Cost said is a bit too dramatic? Hurricane Katrina and Rita were the worst natural disasters this country has ever seen on a scale that is difficult to grasp. Whether or not a few, some or many insurers were willing to bend the 12-month prescriptive period or not the extension is justifiable under these extreme circumstances.
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