Galveston man says insurer's denial left apartment mold damaged

GALVESTON - As a result of being denied coverage for water damage to his Galveston apartment, Stuart Wood is suing certain underwriters at Lloyd's of London and CJW & Associates Inc.

In a lawsuit filed Jan. 28 in Galveston County District Court, Wood claims Lloyd's and CJW "performed an outcome-oriented investigation of his claim which resulted in a biased, unfair and inequitable evaluation of (his) loss with the intent to deny."

An overflowing toilet flooded Wood's apartment on June 1. Consequently, he notified Lloyd's, who in turn assigned CJW to adjust his claim.

The plaintiff says that he provided the defendants with access to the insured property for inspection and provided all information requested and necessary to pay the amount due and owing under the policy, but they failed to perform a proper adjustment.

Meanwhile, mold manifested at the property, the suit adds.

Wood points out that he complied with the requirements of the policy, but Lloyd's rejected his claim. He insists the flooding qualified as a covered event.

In addition to the coverage in question, a jury trial is sought.

Attorney Donivan W. Flowers is representing the plaintiff, and Galveston County 122nd District Court Judge John Ellisor is presiding over the case.

Case No. 11-cv-0142