Storm saturation: Backlogs grow as $5.3B OKed in Irma claims, aid

Oct. 09--Multiple storms in a matter of weeks have left a backlog of tens of thousands of Palm Beach County households awaiting visits for insurance claims or federal grants, meaning a running tab of $5.3 billion in claims and aid for Hurricane Irma in Florida is only likely to grow.

A rapid-fire barrage of hurricanes including Harvey, Irma and Nate has stretched resources thin across the Southeastern U.S., from federal inspectors to claims adjusters for private insurers.

More than 20,000 insurance claims in Palm Beach County have yet to be resolved, out of more than 28,000 filed, according to the Florida Office of Insurance Regulation.

About 35,000 households have applied for Federal Emergency Management Agency grants for home costs not covered by insurance in the county, with about 6,000 related inspections completed as of Friday, U.S. officials said.

Still, not everyone awaiting a visit can expect compensation. Almost as many insurance claims have been closed without payment (3,918) as with payment (4,109) in Palm Beach County.

The estimated value of claims filed so far against private insurers statewide is about $4.6 billion.

Possible reasons for closing claims without payment range from not meeting hurricane deductibles to finding claims invalid or payable by federal flood insurance as opposed to private homeowner policies.

"I had hoped by keeping up on my insurance it wasn't going to be wiping out my savings," Lake Worth resident John Flynn said last month after his home insurer told him roof and ceiling damage likely won't meet a hurricane deductible of nearly $6,000.

Deductibles refer to what consumers must pay before insurance kicks in. Deductibles ranging from $500 up to 10 percent of a home's value have helped keep down annual costs in a state with the nation's highest home insurance premiums, though many customers are facing the reality of higher out-of-pocket costs after a storm for the first time now.

"Most people choose a high deductible to reduce the amount of their annual premium," said Locke Burt, president of Security First Insurance Co. in Ormond Beach. "For the 10 years between (hurricanes) Wilma and Matthew that was a good decision."

Federal Emergency Management Agency grants approved in Florida exceed $700 million, with about $46 million of that in Palm Beach County, FEMA spokesman John Mills said.

A disaster recovery center in Boynton Beach remains open seven days a week from 8 a.m. to 8 p.m., and another center is being considered in the western portion of the county, though disaster survivor assistance teams are working in the area, Mills said.

In addition, the Small Business Administration has approved more than $34 million in disaster loans to Florida businesses and residential dwellers, officials said Monday. The deadline to apply is Nov. 9 for homeowners and renters.

FEMA grants do not have to repaid, and can range from emergency assistance with food, shelter and other immediate needs to helping cover emergency repairs and uninsured damage at residences.

For a question or complaint about an insurance claim, call the state's insurance consumer helpline at 1-877-693-5236.

For federal aid with damage not covered by insurance, apply at www.DisasterAssistance.gov or call the FEMA Helpline at 800-621-3362. Or get help in person at a recovery center, such as the Carolyn Sims Center, 225 NW 12th Ave., Boynton Beach.

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