In an effort to hold insurance companies accountable in the aftermath of Hurricane Sandy, Assemblyman Phil Goldfeder, left, has called on all top insurance carriers to provide an update on their disaster response measures taken and contingency plans for residents to prepare for potential future disasters. Photo courtesy NYS Assembly
After Hurricane Sandy hit at the end of October 2012, destroying homes throughout South Queens and Rockaway and turning people’s lives upside down, many residents said they faced another storm that many continue to weather to this day – insurance.
As residents wrangled with layer after layer of red tape, many said they, after years of paying for insurance, ended up receiving aid that represented nowhere near what they lost in Sandy.
This, Assemblyman Phil Goldfeder (D-Rockaway Park) said, has to change before the next major disaster, saying residents cannot once again face companies that fell so short of helping them during one of the worst times of their lives.
Following a barrage of criticism for the way insurance handled claims following the storm, companies vowed to do better the next time around and carriers said they would inform the general public as to what kind of overhaul would be undertaken for this to happen. Now, 19 months after Sandy, Goldfeder is urging the companies to come forward with such information.
“Worse than the destructive path of Sandy was the complicated insurance process that followed,” Goldfeder said. “Our families’ recovery should not be delayed because companies are overwhelmed and confused by their own policies and regulations. Many insurance carriers agreed to streamline their service and create more transparency after Sandy, and now it’s time to hear the changes they made.”
The South Queens legislator recently sent a letter inviting all the major insurance carriers to discuss their policy improvements at a public forum and educate residents on their own insurance coverage in the event of another disaster. When Sandy hit in 2012, thousands of families and business – in Queens, as well as in South Brooklyn and Staten Island – were held in limbo for months by the same insurance companies that were supposed to be helping them rebuild.
“After a storm, the last thing a homeowner needs is to struggle with their insurance carrier – this should be the easy part of recovery,” said Community Board 14 District Manager Jonathan Gaska. “I am curious to see how much change they are willing to implement.”
In June 2013, Goldfeder and his colleagues passed a comprehensive Sandy insurance legislative package to reform the insurance process and hold insurance companies to a higher standard of accountability. Included in the package was the homeowner’s bill of rights that would educate consumers about property and casualty insurance coverage, provide them with easy-to-understand policies, and require the Department of Financial Services to establish a consumer’s guide on insuring against catastrophic loss.
“We can’t prevent another disaster, but we can help ensure that our families and businesses are protected from any unfair insurance practices,” Goldfeder said. “This is one step that will help educate our community and continue to hold insurance companies accountable. I strongly urge all insurance carriers to attend my public forum and immediately provide an update on how they intend to help customers in the event of another disaster.”
By Anna Gustafson
