Claim denial attorneys know that a prerequisite to filing a lawsuit against an insurance company for a first party claim is to give a pre-suit notice letter. Failure to do so will result in a loss of potential causes of action. This is illustrated in a 2020, opinion from the Southern District of Texas, Houston Division. The opinion is styled, Nexxt Holding, Inc. v. Travelers Cas. Ins. Co. of Am.
Nexxt Holding sued Travelers in 2020, alleging that Travelers failed to pay repair costs due under the insurance policy after a August 2017 storm. Nexxt asserted Texas statutory and common-law claims and sought actual, consequential, and statutory damages, as well as attorneys’ fees. Travelers answered the lawsuit and filed a verified plea of lack of presuit notice under Texas Insurance Code, Section 542A.003.
Texas Insurance Code, Section 542A.007(d) states that, if an insured plaintiff asserts a first-party claim for storm damage against its property insurer and the defendant insurer “pleads and proves” that it “was entitled to but was not given a presuit notice stating the specific amount alleged to be owed . . . under Section 542A.003(b)(2) at least 61 days before the date the action was filed . . . the court may not award to the [plaintiff] any attorney’s fees incurred after the date the defendant files the pleading with the court.”