I've been asked to say a few words about making claims for losses incurred during the recent gas-tastrophe here in Taos. At this time businesses have the opportunity to consider claims to be made against New Mexico Gas Company directly or they can consider making claims under insurance policies, or there may be some other alternatives that I mention below.
My comments are going to be directed at the business community as a whole, but generally circumstances will vary greatly and you'll need to think carefully about the course of action you wish to pursue. Although I have a law degree, I'm not an attorney and I'm not familiar with the nuances of New Mexico law. If you believe that you have a monetary claim against New Mexico Gas Co., and you believe that the value of the claim is substantial in any way (not just monetary), then you better go talk to an attorney.
Get it over with. If you've lost a boatload of money or your business has been damaged to the point where it's teetering on the edge of oblivion, talk to an attorney at least for your peace of mind. Get an opinion from someone who might be able to protect you.
The most important thing you want to ask an attorney is "What is the best way that I can make myself (my business) whole again?"
Federal Disaster Declaration? As I write this there has not been a Federal Disaster Declaration. If one does come, FEMA should come to Taos and make certain low-interest loans available "on the spot" to allow you to open your doors each day and stay in business. It is not necessarily the intent of FEMA loans, but they can help tie you over while your legal claims against New Mexico Gas Co. are processed. That way you shouldn't have to rush a claim.
If a Disaster Declaration happens, that's a game-changer for the claims process. So, hold on, for a few more days and let's see if one comes.
If a Disaster Declaration does not come, things are going to be a lot tougher.
Property Insurance? If you've got property damage and you have insurance, file immediately. I suggest that you don't wait for an attorney on this one. Do it now. Find the phone number and get the claims process started. The Insurance you have contains specific contractual and statutory obligations to act quickly on your behalf. In other words, they have to pay valid claims and they have to pay them quickly.
Be advised that the insurance company will most likely attempt to "subrogate" your claims against the Gas Co. -- This means that if you have filed a property insurance claim under an insurance policy, you should not make a separate claim for property damage with the Gas Company since the Insurance Company will probably do that.
Renters Insurance? Same as above. Call the insurance company immediately. Don't wait to talk to an attorney. Don't file two claims.
Business Loss Insurance? If you've got this, you're going to need to speak with your insurance agent right away. I suggest you do this in person where you can get a checklist of all the things you're going to need to substantiate your claim. Insurance claims for business loss are really hard to make in some industries -- such as lodging, for example, where a lost room night might or might not be considered an actual business loss (I know: Ouch!)
Again, don't wait to speak to an attorney when it comes to filing an insurance claim. Your agent should be able to advise you. If you feel you're getting jerked around, contact the State Insurance Commission.
No Insurance? If FEMA doesn't come in and start offering low interest loans for business and property loss, you might be able to get something going through the Small Business Administration. Otherwise, your last chance might just be a direct claim to New Mexico Gas Co or filing a law suit (remember the attorney).
Claims Against New Mexico Gas Co. Directly? Again, if your losses are substantial and your business is teetering on the edge, go to an attorney first. My biggest concern for our business community is that none of us waives any of our rights for full compensation.
Don't sign an Arbitration Agreement if it is presented to you without first speaking to an attorney.
Any system New Mexico Gas Co sets up will be biased in their favor. It will be - by design -- full of procedural pitfalls and claims denial loopholes. Also, it will involve some type of waiver of your right to have your claims resolved in court by a jury of your peers (such as an Arbitration Agreement).
Bottom Line: Unless you're filing an insurance claim under an existing policy, don't worry about rushing to make your claim to New Mexico Gas Co. immediately if you don't have all the facts together (extra costs associated with Electrical Heating, for example).
The process will take an uncertain amount of time and if the Gas Co's response time to the actual emergency is any indication of the speed they'll address your claim, well . . . good luck.
1 comment:
Very good info---thanks! Leslie and Tim
Post a Comment