Hotel and Motel
Hotel or motel owners know all too well that guests don’t feel comfortable in a property without optimum services. After a natural disaster, hurricane, fire, flood, tornado, hail storm, or windstorm, hotel and motel owners want to submit commercial claims to their insurer, receive prompt payment of claims, and get back to business.
If any rooms in the hotel or motel were damaged in the aftermath of a severe weather event or another type of disaster, this fact automatically affects how many guests may be accommodated. Downtown for hotels and motels can have a significant impact on the bottom line, guest reviews (which last for an unlimited time period online), and vacation or business travel advanced bookings.
Property Damage, Commercial Insurance Claims, and Hotel Owners
Any obvious damage or loss of function is meaningful to hotels and motels. It’s critical for the hotelier to satisfy occupancy demands:
- If hotels and motels accept reservations when the property is in disrepair, owners face lost revenues from guest complaints and credit card chargebacks. For instance, if the guest’s hotel room bathroom isn’t functioning after a severe weather event, the guest is likely to demand a refund.
- Unsatisfied customers are unlikely to return to the hotel or motel.
- Guest safety could also be a concern after a natural disaster, fire, hurricane, windstorm, or earthquake. If the hotel or motel owner allows guests to stay in the property until it’s safe to do so, accidents and injuries may result. The property owner is likely to face personal injury claims from unsatisfied guests.
- Word-of-mouth commentary from unhappy customers (or injured customers) affects the hotel or motel owner’s bottom line.
When Should I Submit a Commercial Property Insurance Claim?
Whether you own a single property or multiple properties affected by a major natural disaster, the first order of business is to advise the commercial insurer of the claim; submit the claim after obtaining reasonable estimates, and promptly receive an appropriate claims payment.
Of course, it’s unwise to wait for the claims payment to begin repairs. It’s your responsibility to mitigate the impact of the loss incident on your business’ health. However, if your commercial insurance claim is disputed, delayed, underpaid, or denied by hotel or motel commercial insurance carrier, it may be difficult to operate the property at a profit.
Hotel or Motel Physical Structure Damage, Water or Mold Damage
In addition to repairing physical structure damage to your motel or hotel property, a hurricane, tornado, or flood can create water and mold damage. This damage is likely to severely limit the owner’s ability to run the business.
Hotel and motel mold or water damages may also expose the owner to potential liability. If a guest becomes ill from short-term mold exposure and argues that the property was offered in a state of unrepaired damage, he or she may have a strong personal injury case against the owner.
It’s very important for the hotel or motel owner to receive the financial recovery he or she is entitled to receive from the commercial property insurance policy. The hotel or motel must be properly repaired and rebuilt before you invite guests to stay there.
Bad Faith Insurance Companies’ Response to Hotels and Motels
Sadly, a commercial insurance company might attempt to avoid payment of valid claims by arguing:
- The hotel or motel commercial property insurance policy doesn’t cover mold, flood, or water damage
- Physical property damage of any kind isn’t covered by the policy
- The insurance policy doesn’t cover business interruption or a reduction of business operations.
- The hotel or motel doesn’t meet specific operating standards.
Contact an Experienced Houston Hotel and Motel Property Insurance Damage Claims Lawyer
Dealing with a bad faith commercial insurance company is overwhelming. If you’re faced with the need to repair your hotels and motels–and attempting to manage an insurance claim dispute–you need an experienced hotel and motel property insurance damage claims lawyer.
The Mindiola Law Firm in Houston has handled property damage claims of motels and hotels for many years. We’re here to help you receive the compensation your insurance company promised. If you own or operate hotels and motels, contact us now for assistance with your commercial insurance damage claims at .