Where Do You Go When The Insurer Of Last Resort Will Not Insure Your Home?

Jim Ivory, a retired maintenance technician for Anheuser Busch, is a victim of Chinese drywall.  He bought a retirement home in Punta Gorda, Florida.  Later he learned that the odor in the home, the toxic fumes that were burning his eyes and burning his throat and nose when he took a breath, the sulfur in the air that was causing his ground wires to become black, were all caused by defective, toxic drywall that came from China.

Since learning this tragic news, Mr. Ivory has moved back to Colorado and waits for the day when he can return to his retirement home.  In the meantime, he has filed an action against his builder and is waiting for his day in Court.  He is seeking justice in the form of a repaired home.

Chinese Drywall Insurance Issue

While he waits for justice, Mr. Ivory has just become a victim for a second time.  This time he has been victimized by the cruelty of Citizens Property Insurance Company.  On September 14, 2009, Citizens wrote to Mr. Ivory and advised him that Citizens was not going to “renew” Mr. Ivory’s homeowner’s insurance policy because:

“The risk has existing damage and no proof of repair has been provided to Citizens Property Insurance Corporation.”

Click here to see the letter from Citizen’s Insurance.

This must be the cruelest joke that you have ever heard.  The joke goes like this…

Once upon a time, a hard working fellow pays hard-earned money for a retirement home.  When he buys the home he looks for insurance.  Since most, if not all, of the good companies refuse to write hurricane insurance in Florida, this hard working fellow has to buy insurance from the state sponsored Citizens Property Insurance Company.  The insurer of last resort.  Then he finds out he is a victim of a terrible tragedy called Chinese drywall.  So he places his claim with his homeowner’s insurance company – Citizens.  Of course, since the policy is filled with exclusions, the claim for Chinese drywall is quickly denied.  Then, instead of indemnifying this hard working fellow for his loss, Citizens writes the homeowner a letter and tells the homeowner that not even the insurer of last resort can insure you.  Citizens tells him that they cannot give him any money so that he can repair the home – but that he needs to fix the home immediately or he will lose all of the his insurance.

Chinese Drywall Denial of Insurance

This joke is funny – until you realize that this is exactly what is happening to Mr. Ivory.  This denial must be stopped.  If Citizens, the state sponsored insurer of last resort, cannot write insurance to Mr. Ivory, then where will Mr. Ivory go for insurance.