Tornado Damage Claim
Insurance Offer: $540,805
Timmons Consulting Group’s Experience Paves the Way for Stelco to Rebuild After Devastating Tornado
Damaged beyond repair due to rain and heavy tornado winds, Stelco Industries in Waxahachie, Texas had to demolish its building and rebuild in the face of mounting expenses and an immediate disruption of business. There was also a need to collect and recreate the books for ongoing expenses, non continuing expenses, revenues, and more. These challenges were heightened by the fact that the business had no photos of its structure or the contents, per the advice of the company’s existing insurance adjuster.
Timmons Consulting Group stepped in as an advocate for Stelco to help push forward their claim with their insurance company. We used our thorough investigation skills and extensive negotiation experience to recoup losses, accelerate rebuilding and make the company whole once again.
We worked on behalf of Stelco to establish the books needed to recoup expenses and lost revenue. We also handled site investigation, data collection and heavy commercial equipment replacement to get Stelco up and running once the building was complete. In maximizing the settlement for the structure and contents, we helped restore Stelco’s business operations back to pre-loss condition.
The initial structure settlement was $540,805.
Through our work, knowledge and experience, we settled with the insurance company for over the policy limits at $788,250 and got Stelco back beyond pre-damage condition.
STELCO IN THE NEWS
Business Interruption Claim
Insurance Offer: $22,118
Examining the Big Picture Brings Big Boy an Additional $40,000+ for Business Interruption
Big Boy Mexican food restaurant in El Paso, TX, suffered a fire in June of 2015. During the early stages of the claims process, we understood that the client’s insurance carrier would request at least two years of Profit & Loss statements. So, we immediately requested P&L statements and discovered the company's elevated profit margins in 2013, had declining monthly profits in 2014 and then a slight rebound in 2015 before the fire.
It was clear some major event took place that we needed to know about because we knew the carrier was going to produce their own evaluation of the events and it would be up to our firm to break it down, clarify, and justify any business interruption claims. Their in-house accountant was very knowledgeable and experienced in his field and he was confident in his calculation model. But we could tell something wasn’t adding up. Further examination was needed and it was up to us to discover and prove our claim. The insurance company isn't going to do it.
We took a step back and looked at the bigger picture to see if there were any extenuating circumstances that could’ve caused this fluctuation in the P&L statements. Our investigation and research led to City of El Paso engineering plans, which revealed road construction that had occurred during the same time as the P&L fluctuations. After analyzing the city construction report dates, times and location as it related to the strip center where Big Boy was located, we determined the road construction affected the ingress and egress to the strip center, a major upheaval to Big Boy’s foot traffic and income, along with the other businesses in the area.
The initial settlement paid to Big Boy for business interruption was $22,118. Through our research and analysis, we presented our findings to the carrier and collected an additional $46,583 in business interruption for Big Boy.
The insurance company paid $22,118.
We collected an additional $46,583 for our client.
CONSTRUCTION IMPEDES BUSINESS
STAGES OF CONSTRUCTION
Partial Roof Collapse
Insurance Offer: We found extensive damage before an initial offer was generated. We estimated their initial findings to be roughly 10% of the final settlement.
Overcoming Obstacles to Keep a Key Medical and Dental Facility Open and Available for the Native American Community
The Urban Inter Tribal Center (UITC) had a 100-year-old building that served as a medical and dental facility for the Native American community. Even though both facilities were under one roof, there was a common wall that separated the medical doctors and facilities from the administration offices.
The building suffered a partially collapsed roof that was initially deemed repairable by a highly visible local restoration company. We reached out to offer our services to UITC. We were retained to produce a response to the insurance carrier, who wanted to simply repair the building, double up the administration and medical sides, and relocate the administration equipment and supplies to the other side, creating a crowded and challenging work environment.
Our challenges were to figure out how to relocate the medical and dental facilities to a more suitable building, overcome the carrier’s approved plan to repair or patch the roof structure, and prevent the removal of administration equipment and supplies.
Timmons Consulting Group successfully challenged the carrier and their restoration contractor’s plan to just repair the roof and truss system instead of replacing it. We discovered and proved that the partial collapse put stress on the rest of the ceiling trusses causing them to skew and pull away from their stabilizing pockets. Once we presented this it was clear the entire system needed to be replaced. We then helped guide UITC through all their options to ensure the operations of the dental and medical facilities could continue to collect revenue and serve their Native American community.
Instead of waiting for repairs, UITC located and purchased another building for their operations. After examining every detail of their insurance policy, we maximized the policy returns to the fullest to help UITC pay for all relocation expenses and modifications to the new building so they could accommodate the ongoing operations.
They then sold the previous building "as is" to another local business, getting a good return on the sale to go along with the relocation cost savings.
Total Claim Settlement: $729,165
Through our due diligence and discovery we helped our client avoid a massive potential future liability, sell the building "As Is" and relocate to a new building that better suited their needs and future growth.