Posted On: February 1, 2007, 4:53 pm CST

Posted By: temblor

Sorry, not true. In the first case decided by Judge Senter, he awarded ~$2,000 for wind damage and ruled the balance of the damage was caused by the surge and not covered.

State Farm had denied even the $2,000 on the bizarre theory that although the wind caused damage first, the surge would have also caused it later thus they therefore owed nothing!

That's why they are in such trouble. But note that Judge Senter clearly ruled that surge damage was excluded from homeowners.

The solution to such a mess? Make National Flood Program coverage an endorsement to the homeowner's, reinsured 100% back to the feds.

One company is responsible for ALL the damage, they have to fight it out with their reinsurers as to their reimbursement.

Imminently fair to the policyholders, the experts determine who owes what to the insurer later on.