Real Estate Community Forum

Not too long ago, our home was in a fire. According to the investigation, the report clearly shows that the fire was not our fault. The exact cause of the fire is listed as unknown and was not arson. This is the only claim that has ever been reported on our house that we've owned for 15 years. Now we get a notice from our insurance company that they are dropping us because of the fire. We have never missed a payment. Is this legal? Can they actually drop us even though the fire was not our fault?

It's not fair but believe it or not it is legal.

Generally your policy will have language in it that discusses fires that may be preventable.

Sounds like you were a good customer so you may want to talk with your insurance agent for a reconsideration. If the agent writes alot of policies and has a good relationship with your carrier, he/she may be able to keep you covered.

There is plenty of competition out there so you will get coverage. However, be prepared to spend more money for the same coverage.

You could always file a complaint with the state commissioner but that is a long and time consuming process.

Hope the above helps and good luck

There always seems to be problems with insurance companies. I've heard so many stories of them not helping people, such as those who were involved in hurricanes or tornadoes. To me it seems like a terrible crime. There is so much fine print on some of these insurance forms that you need an attorney to interpret it. So usually it ends up stuffed with all your papers and hope that you never have to drag it out. I think these insurance companies find every loop hole so they don't have to pay for anything. If you really feel your insurance company is not treating you fairly, I suggest going to the Better Business Bureau with your complaint. Chances are, they might be able to help you.