Farmers Insurance: Wrongful Claim Denial

I can’t thank Atty. Craig Rackohn enough for handling my case vs. Farmer’s Insurance.

The case was tough but at the end we came out ahead and recovered the desirable amount. I attribute all to his capability consistency, endurance and perseverance. He is highly recommendable.

 – Dr. Erlinda Koo

Our firm recently handled a homeowner’s fire claim insured by Farmers Insurance Exchange on our client’s rental property.  An arsonist intentionally tried to burn our client’s rental house down to the ground.  Farmers Insurance Exchange wrongfully denied this claim disregarding California law that arson is a covered loss under California’s standard fire policy unless intentionally set by the insured.

Instead, Farmers relied on a vacancy exclusion contained under their vandalism coverage denying this claim on the grounds that the rental property had been vacant for more than 60 days before the loss.  Farmers insisted that arson was a form of vandalism relying on the vacancy exclusion under the vandalism coverage to deny the claim.

Our firm represented Dr. Erlinda Koo against Farmers Insurance Exchange filing a lawsuit after Dr. Koo’s claim was denied.

Farmers refused to make any offers on Dr. Koo’s claim until right before trial, and then only offering $15,000.00.

The court found that arson is a form of fire and is covered under the fire peril of the standard fire policy, it is not vandalism, and it is not excluded under the vacancy exclusion contained under the vandalism coverage.

Our fight for our client continued. Our firm went to trial and successfully obtained a judgment against Farmers in the amount of $211,733.00.

Bottom line: Farmers paid!