Homeowners and businesses in the Chattanooga area filing hundreds of insurance claims for damages to houses, cars and businesses after a tornado with 145 mph winds toppled dozens of homes and businesses and high winds and heavy rains damaged hundreds of other properties Sunday night.
Tennessee's major insurance companies urged those with homeowners or business property insurance hurt by the storm to call their agents or company claim lines as soon as possible after they handle any emergency or immediate safety needs. Insurers said they had already received hundreds of such claims for millions of dollars of property damages, and have assigned crews to handle the influx of damage assessments stemming from the storm.
Hodgen Mainda, commissioner for the Tennessee Department of Commerce and Insurance, urged those hit by the storms to continue to practice social distancing to limit the spread of the coronavirus and to be alert to stay in contact with their insurers and use licensed contractors for any repair work.
"As a longtime Chattanooga resident, my heart breaks at the sight of the destruction the storms caused to my friends and neighbors here in Hamilton and Bradley counties," Mainda said Tuesday."In the midst of this tragedy, however, I have also seen the teamwork, compassion, and resilience that truly makes us 'Chattanooga Strong.'"
During the recovery and rebuilding process, Mainda urged consumers to abide by all federal and state health guidelines in order to slow the spread of the novel coronavirus (COVID-19) by following social distancing practices, wearing cloth masks in public and practicing good hygiene with frequent hand washing.
Biggest homeowners insurance companies
1. State Farm, $18.7 billion in annual premiums2. Allstate, $8.7 billion in annual premiums3. USAA,* $6.8 billion in annual premiums4. Liberty Mutual, $6.7 billion in annual premiums5. Farmers, $5.9 billion in annual premiums6. Travelers $4.2 billion in annual premiums7. American Family, $4.1 billion in annual premiums8. Nationwide, $3.2 billion in annual premiums9. Chubb, $3 billion in annual premiums10. Erie, $1.7 billion in annual premiums* USAA is available only to active military members, veterans and their families.Source: National Association of Insurance Commissioners based upon 2019 premium income
The tornado damages in Chattanooga Sunday came less than six weeks after EF4 and Ef3 tornadoes hit Middle Tennessee on March 3, killing at least 25 people, injuring 300 others and causing more than $1.1 billion in damages. About three fourths of those damages were ultimately insured, according to a report last week from Aon PLC's Impact Forecasting.
Major homeowner insurance companies in Tennessee quickly shifted to Southeast Tennessee Monday after Sunday's deadly tornadoes swept through the South.
Farm Bureau Insurance of Tennessee, which has 300 claims professionals who work in the Chattanooga region, said Monday morning it already had about 20 customers whose homes were uninhabitable because of the storm and are being housed elsewhere. Dan Batey, vice president of corporate communications for Farm Bureau, said company representatives are authorized to write checks for immediate relief cases, when warranted, in response to the storm damages.
State Farm said the severe weather damaged hundreds of homes and vehicles for its clients in Tennessee and local agents were working with storm victims Monday to assess damages and work through claims and repairs.
In-person relief is being challenged, to some degree, by the coronavirus and the effort to keep people a part to limit the spread of the COVID-19 virus.
"While assisting customers in-person and virtually, we are committed to the health and safety of our employees and the communities where we live and work," said State Farm spokeswoman Julie Smith.
Nationwide Insurance said Monday it is trying to settle most claims remotely on the telephone or with video chats.
"During the COVID-19 pandemic, while many jurisdictions have shelter-in-place orders in effect, Nationwide will be utilizing remote inspection and settlement tools," company spokesman Kevin Kemper said. "If a claim requires on-site inspection, we will follow social-distancing procedures and health-and-safety best practices recommended by the Centers for Disease Control and Prevention."
Hodgen urged those making repairs of their properties from the storm damages to use only licensed contractors and be alert for potential scams.
"While many people seek to help during times of disaster, unfortunately there is also an increased risk for scams and fraud," he said in a report Tuesday.
State regulators said consumers should on the watch for:
Upfront fees to help you claim services, benefits, or get loans. No government agency charges application fees.
Con artists posing as government employees, insurance adjusters, law enforcement officials, or bank employees. Confirm credentials by calling the agencies if necessary. Organizations with names similar to government agencies or charities.
Limited time offers. Don't be pressured to make a decision on the spot or to sign anything without having enough time to review it.
Fake rental listings. If the offer sounds too good to be true or the property owner can't show you the property beforehand, it's a bad sign.
Contact Dave Flessner at dflessner@timesfreepress.com or at 757-6340
