A federal appeals court says people whose houses were destroyed by Hurricane Rita’s wind and floods cannot make insurance companies pay the full value of their policies.
The 5th U.S. Circuit Court of Appeal upheld a ruling by a federal judge in Lafayette, in a case brought by two couples – Joe and Edith Turk of St. Landry Parish and Charles and Bonnie Theriot of Cameron.
The would-be class action said Louisiana’s Valued Policy Law requires insurance companies to cover all of a total loss if the causes include one covered by a policy.
In this case, wind was covered but floods were excluded.
The three-judge panel said another 5th Circuit panel ruled against plaintiffs in a similar case, and it had to follow that ruling.
Topics Louisiana
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