Oxendine: Don’t punish flood victims

ATLANTA — Insurance Commissioner John W. Oxendine is telling insurance companies not to penalize policyholders just because they had flood damage.

“A consumer should not be penalized for reporting damage,” Oxendine said in a news release. “I don’t want insurers non-renewing policyholders whose homes were damaged by flooding, especially when claims reporting is mandated by FEMA for a consumer to be eligible for benefits.”

According to Oxendine, insurance companies “are prohibited from non-renewing homeowners coverage for two or fewer claims within 36 months.”

Oxendine is urging anyone who feels that his or her coverage “has been unfairly non-renewed” to contest the decision by immediately sending written notice to the insurer. The notice must be received before the non-renewal effective date; after receiving the letter, the company must explain in writing why coverage has been denied.

For questions, call Oxendine’s Consumer Services Division at (404) 656-2070 or (800) 656-2298.