MS Judge Rules Against Katrina Flood Damage Insurance Coverage

In southern Mississippi, a federal judge has ruled that a homeowner's insurance policy excluded flood damage, greatly reducing the amount that can be collected because of Hurricane Katrina damage.

The judge said that the policy, purchased from Nationwide, reportedly covered damage caused by hurricanes, but he upheld a widely-used interpretation that floodwaters were not covered. Media reports indicate that the court did find that wind damage was coverage, which may provide some relief to Gulf Coast residents, but it appears that case law now exists that allows insurances companies to feel comfortable when denying claims.

Tags: Hurricane Katrina , Nationwide , insurance , flood , Mississippi

posted by Consumer Help Web Editorial Team at 8:57 PM |