Can mortgage company file an insurance claim on 3 year old foreclosed home that was included in bankruptcy?
I filed CH 7 Bankruptcy 3 years ago and the mortgage company foreclosed on the property. MY insurance company just called and said the mortgage company called them and filed a claim on the house for roof damage and if they paid it there is a $2000.00 deductible I will have to pay. Is this right? I have not lived in the home for 3 years!
I’m not an expert in Bankruptcy and foreclosure procedures but this doesn’t smell right. If the damage to the roof occurred during the time that your insurance was in force, why are they only now contacting you? To my knowledge, all HO insurance coverage is based on the date of the occurrence or loss. That means that whichever insurance company was insuring the home at the time the loss occurred, is responsible to handle and pay the claim. It is hard to believe that a loss over 3 years old would just now be discovered and filed.
July 17th, 2010 at 8:26 am
I’m not an expert in Bankruptcy and foreclosure procedures but this doesn’t smell right. If the damage to the roof occurred during the time that your insurance was in force, why are they only now contacting you? To my knowledge, all HO insurance coverage is based on the date of the occurrence or loss. That means that whichever insurance company was insuring the home at the time the loss occurred, is responsible to handle and pay the claim. It is hard to believe that a loss over 3 years old would just now be discovered and filed.
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July 17th, 2010 at 8:45 am
Who ever get the money pays the deductible .
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July 17th, 2010 at 9:02 am
Yes. They can.
If the home was damaged while you owned it and it was insured with them. Then yes the mortgage company can file a claim. Usually they do it right after the foreclosure.
References :
Insurance Adjuster 12 years