A Jefferson County couple has filed suit against Farmers Insurance Exchange, alleging the company wrongfully denied their insurance claim.Misrepresented to the Manns a material fact or policy provision relating to their coverage;
Kenneth and Nancy Mann filed a claim with Farmers Insurance Exchange on May 8 after they discovered damage to the foundation of their home, according to the complaint filed Dec. 3 in Jefferson County District Court.
Although the claim was covered under the Manns' policy, Farmers Insurance Exchange denied it, the suit states.
Because of the company's failure to honor the claim, the Manns suffered up to $50,000 worth of damages to their home and up to $8,800 worth of additional living expenses and paid attorneys' fees of up to $18,000, they allege.
According to the complaint, Farmers Insurance Exchange violated the Texas Insurance Code and the Texas Deceptive Trade Practices Act in the following ways:
Failed to attempt in good faith to effectuate a prompt, fair and equitable settlement of claim; and
Refused to pay a claim without a reasonable investigation.
The Manns are seeking damages less than $75,000, plus costs and pre- and post-judgment interest.
They are represented by Clay Dugas and Mike Jacobellis of Beaumont.
The case has been assigned to Judge Donald Floyd, 172nd District Court.
Case No. E182-810