Galveston County cities and schools sue TWIA over unpaid Ike damages

GALVESTON - A number of local governmental entities are suing the Texas Windstorm Insurance Association over improper storm coverage, recent court records show.

The cities of Galveston, La Marque, Dickinson and Santa Fe, the Dickinson and Texas City school districts and College of the Mainland each allege TWIA did not pay for damages to their properties and structures during Hurricane Ike.

The lawsuits were filed Sept. 12 in Galveston County District Court.

According to the plaintiffs, TWIA's adjusters or others brought in by the defendant failed to properly inspect and adjust the damages.

Such actions resulted in the complainant not being compensated in accordance to the terms of its insurance policy, each of the suits say.

The original petitions all assert that TWIA underpaid some claims as well as under-scoped the damages in question during its investigations, stating the respondent continues to delay the release of coverage funds.

They add TWIA told the plaintiffs that their aforementioned damages are not covered under the policy though the events of Ike qualify.

The cities, school districts and COM insist "TWIA's entire process is unfairly designed to reach favorable outcomes for the company at the expense of the policyholders."

The suits were entered by attorneys Shaun W. Hodge with the Hodge Law Firm PLLC in Galveston and A. Craig Eiland with the Law Offices of A. Craig Eiland P.C. also in Galveston.

Case Nos. 12-cv-2009-15