Southeast Texas Record

Saturday, March 28, 2020

Galveston County Fair suing insurance company for failure to pay claim

By Hanna Nakano | Jan 3, 2016


GALVESTON — Owners of a local fair and rodeo are suing an insurance company for allegedly refusing to pay a claim after a hailstorm.

The Galveston County Fair and Rodeo filed suit Oct. 9 in the Galveston County District Court against the Texas Windstorm Insurance Association (TWIA), alleging breach of contract.

On April 12, 2013, the fair’s property was damaged due to wind and hail, according to the suit. The suit alleges that TWIA accepted coverage for only a portion of the loss, wrongfully denying benefits for interior water damage due to storm-created openings in two of the fair’s buildings.

On Oct. 25, 2013, TWIA sent a notice of denial for part of the claim, and allegedly applied a coinsurance penalty of $59,094.81 to the portion of the claim it did pay. In addition to alleging breach of contract for not paying the entire claim, fair officials allege that the penalty is unreasonable and an excuse to pay even less on the insurance claim.

Fair management seeks actual damages, statutory penalties, pre- and post-judgment interest, attorney fees and court fees. The Galveston County Fair and Rodeo is represented by Robert C. Lane of the Lane Law Firm in Houston.

District Court of Galveston County Case number 15-CV-1008

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Organizations in this Story

Galveston County Fair