When severe weather strikes Texas, the damage to your home may be just the beginning of your troubles. Many homeowners face an unexpected second blow: receiving notice that their insurance coverage is being terminated after filing a legitimate storm claim. Understanding your rights under Texas law is crucial to protecting yourself from unjustified insurance actions.
The storm damage insurance claim attorneys from Moore Law Firm stand ready to defend homeowners whose insurers attempt to drop coverage after weather-related claims.
Texas Law Protects Homeowners from Claim-Based Cancellations
Under Texas law, insurance companies face strict limitations on when they can cancel or non-renew your homeowners policy. These protections are particularly strong when it comes to weather-related claims—a critical safeguard in a state that regularly faces hurricanes, hailstorms, and tornadoes.
The Critical Distinction: Cancellation vs. Non-Renewal
Texas insurance regulations draw a sharp line between two different actions an insurer might take:
Cancellation refers to terminating your policy mid-term, before its natural expiration date. Texas law severely restricts this practice. Insurers can only cancel an active policy for specific reasons such as:
- Non-payment of premiums
- Fraud or material misrepresentation on the application
- Substantial increase in hazard that was within your control
Non-renewal means the insurer declines to offer you a new policy when your current term expires. While insurers have more flexibility here, Texas still provides important protections.
The Weather Claim Protection Rules
Texas insurance regulations specifically address weather-related claims:
For Homeowners Insurance:
- Insurance companies cannot cancel your policy simply because you filed one or two weather-related claims within a three-year period
- Filing claims for damage from natural disasters like hurricanes, hailstorms, or windstorms—events beyond your control—receives special protection under the law
- However, if you file three or more claims within three years, the insurer may choose not to renew your policy at the end of its term
For Auto Insurance:
- Similar protections apply regarding cancellation for claims
- Multiple claims within a specific timeframe may trigger non-renewal, but not immediate cancellation
These rules recognize that Texas property owners shouldn’t be penalized for acts of nature they cannot prevent.
How Insurance Companies Navigate These Restrictions
Despite these protections, insurance companies still find ways to manage their risk exposure after major storm events. Understanding their tactics helps homeowners prepare and respond effectively.
Risk Assessment Shifts After Major Storms
When catastrophic weather events trigger thousands of simultaneous claims, insurance companies reassess their entire risk portfolio. They may respond by:
- Implementing stricter underwriting guidelines for renewals
- Requiring additional property inspections
- Citing maintenance issues discovered during claim investigations
- Adjusting coverage areas or withdrawing from certain regions entirely
A property claim lawyer will explain that while Texas Insurance Code Chapter 551 requires insurers to provide at least 30 days’ written notice before non-renewal, the reasons given must still comply with state regulations.
The Role of Policy Language
Insurance policies often contain provisions that work within Texas law’s framework while still giving insurers options. A property claim attorney will scrutinize policy language that might include:
- Specific claim frequency thresholds that align with state minimums
- Maintenance requirements that could provide alternative grounds for non-renewal
- Inspection clauses that activate after claims
- Geographic restrictions or catastrophe provisions
Many homeowners never fully review these provisions until faced with a cancellation or non-renewal notice. Understanding what your policy actually says—and whether the insurer is applying it correctly—proves critical.
When Insurers Cross the Line
Some insurance companies push beyond what Texas law allows, hoping homeowners won’t understand their rights or challenge improper actions.
Prohibited Practices Under Texas Law
Insurance companies cannot:
- Cancel your policy in retaliation for filing a legitimate claim
- Use a single weather-related claim as the sole basis for mid-term cancellation
- Ignore the special protections for natural disaster claims
- Provide inadequate notice of non-renewal
- Misrepresent the reasons for their actions
Red Flags That Warrant Legal Review
Certain insurer behaviors signal potential violations:
- Cancellation notices arriving immediately after claim filing
- Vague or shifting explanations for non-renewal
- Attempts to pressure you into withdrawing claims
- Citing maintenance issues never previously mentioned
- Grouping non-weather claims with protected weather claims to reach thresholds
The Hidden Factors Behind Coverage Decisions
Insurance companies employ sophisticated risk models that go beyond simple claim counting. These internal scoring systems consider multiple factors that may surprise homeowners.
Beyond Claims History
Insurers analyze:
- Third-party data about your property and neighborhood
- Historical weather patterns and future risk projections
- Construction materials and building age
- Previous inspection reports and repair histories
- Regional claim frequencies and severity trends
Sometimes, a property that weathered one storm may be deemed too vulnerable for future events, even if repairs were completed. Insurers might label this as “increased hazard” rather than claim-based non-renewal, attempting to sidestep protective regulations.
The Inspection Trap
Post-claim inspections often become fishing expeditions for non-renewal justifications. Inspectors may cite:
- Pre-existing wear that didn’t cause the claimed damage
- Cosmetic issues unrelated to structural integrity
- Code updates that weren’t required when the home was built
- Theoretical vulnerabilities based on modeling rather than actual conditions
A Moore Law Firm property claim lawyer knows how to distinguish between legitimate concerns and pretextual reasons designed to justify dropping coverage.
How Moore Law Firm Protects Your Coverage Rights
When insurance companies threaten your coverage after a storm claim, immediate action matters. The Moore Law Firm brings comprehensive strategies to defend your insurance rights.
Our Systematic Approach
Our Texas property claim attorneys will:
- Analyze the Specific Grounds – We examine whether the stated reasons comply with Texas law’s restrictions on weather-claim cancellations
- Review Claim History – We verify whether your claims fall within protected categories and confirm proper counting of weather-related incidents
- Scrutinize Policy Terms – We determine if the insurer is correctly applying its own contract language and following required procedures
- Challenge Improper Actions – When violations are identified, we demand documentation, file complaints with the Texas Department of Insurance, and pursue all available remedies
- Seek Appropriate Relief – Depending on the violation, we may pursue reinstatement, damages for improper cancellation, or regulatory intervention
Building Your Defense
We compile evidence demonstrating:
- The legitimate nature of your storm damage claim
- Compliance with all policy requirements
- Proper maintenance and care of your property
- The insurer’s failure to follow Texas law
- Any bad faith practices in claims handling or coverage decisions
Protecting Yourself Before Problems Arise
While legal intervention can address improper cancellations, homeowners can take proactive steps to strengthen their position:
- Document all property maintenance and improvements
- Keep detailed records of all insurance communications
- Photograph your property regularly, especially before storm seasons
- Understand your policy’s specific provisions about claims and renewals
- Report claims promptly but accurately, avoiding speculation about causes
- Never withdraw a legitimate claim due to cancellation threats
Your Rights Matter More Than Insurance Company Profits
Texas law recognizes that homeowners shouldn’t lose coverage simply for using the protection they’ve paid for. The special provisions for weather-related claims acknowledge the reality of living in a state where severe weather is a fact of life, not a choice.
When insurance companies attempt to circumvent these protections through technical maneuvers or intimidation tactics, legal representation levels the playing field. You have the right to file legitimate storm damage claims without fear of losing your insurance coverage.
Take Action to Protect Your Coverage
Having your insurance company cancel or non-renew your policy after a storm claim threatens both your financial security and your ability to protect your most valuable asset. Texas law provides strong protections, but only if you understand and assert your rights.
The Moore Law Firm property claim lawyers help clients navigate the complex intersection of insurance contracts, state regulations, and company practices. We ensure that legitimate storm claims don’t become weapons used against policyholders.
No Texas homeowner should face the double disaster of storm damage followed by insurance abandonment. With experienced legal counsel, you can fight unjustified cancellations and maintain the coverage you need and deserve. Call 956-631-0745 or contact us online to schedule a confidential consultation with an experienced legal professional who understands both Texas insurance law and your rights as a policyholder.
FREQUENTLY ASKED QUESTIONS (FAQ):
Can an insurance company cancel my policy for filing a storm damage claim in Texas? No, Texas law specifically prohibits insurance companies from cancelling your homeowners policy for filing one or two weather-related claims within a three-year period. Immediate cancellation can only occur for reasons like non-payment, fraud, or material misrepresentation—not for filing legitimate claims.
What’s the difference between cancellation and non-renewal under Texas law? Cancellation means ending your policy before its expiration date and is heavily restricted—insurers need specific grounds like non-payment or fraud. Non-renewal means the insurer won’t offer a new policy when yours expires. While insurers have more flexibility with non-renewal, Texas still protects homeowners who file weather-related claims.
How many weather claims can I file before my insurer can drop me? Under Texas law, insurers cannot cancel or non-renew your homeowners policy for filing one or two weather-related claims within three years. However, three or more claims in three years may allow non-renewal (but not mid-term cancellation). Claims for natural disasters beyond your control receive special protection.