GOV. GREG ABBOTT DOES NOT RULE OUT A SHUTDOWN

Three weeks after Gov. Greg Abbott required Texans to wear masks, epidemiologists and disease modelers say they are cautiously optimistic that the mandate is helping the state turn a corner in its efforts to contain an outbreak that has killed more than 4,500 Texans.

Throughout the summer, Texas’ coronavirus outbreak became grimmer by the day and by almost every metric: case counts, hospitalizations, deaths. But in the past week or so, Abbott and some of the state’s public health officials began to see hope in the daily case counts as they appeared to stabilize.

A growing body of evidence points to widespread mask-wearing as an effective strategy for containing the virus, and one North Texas researcher’s statistical analysis published this week argued that local mask orders in the region reduced viral transmission enough to avoid a lockdown. The governor, who has faced blistering criticism for his handling of the pandemic from members of his own political party, immediately seized upon those findings in defense of his statewide order.

MANY TEXANS REMAIN WITHOUT POWER IN THE AFTERMATH OF HURRICANE HANNA

Two days after Hurricane Hanna touched down in South Texas, thousands remained without power and communities were grappling with how to deal with the damage caused by flooding and strong winds.

The storm, which made landfall as a Category 1 hurricane Saturday evening at Padre Island, packed sustained winds as high as 90 mph before weakening into a tropical storm early Sunday and moving into northern Mexico. It was the first hurricane of the 2020 Atlantic hurricane season.

Hanna unleashed more than 15 inches of rain in parts of South Texas, resulting in serious flash flooding, according to The Washington Post.

Gov. Greg Abbott warned Texans on Sunday that there are continued threats of flash flooding even as rainfall slows, due to overflowing rivers.

"Any additional rainfall will exacerbate these threats, but the State of Texas is ready to respond and protect our fellow Texans," he said in a statement.

The Federal Emergency Management Agency and President Donald Trump approved a federal emergency declaration in response to Hanna, allowing for some federal assistance and reimbursement for evacuation efforts and shelter support. Abbott previously issued a disaster declaration for 32 counties.

Downed power lines and trees have caused road closures across South Texas. As of 1 p.m. Monday, American Electric Power Texas, one of the state's largest electric providers, reported more than 58,000 power outages in Corpus Christi, Laredo and the Rio Grande Valley.

Hanna touched down as COVID-19 cases in South Texas continue to surge.

TEXAS SCHOOLS ARE TO REOPEN CLASSROOMS ON THE STATE'S TIMETABLE

After weeks of confusion and conflicting signals, Texas has settled into policies that effectively compel schools to reopen their classrooms this fall no later than eight weeks after the academic year begins, whether they want to or not.

Teachers, parents, school administrators and public health officials have been seeking clarity for weeks on how the state will approach reopening schools safely as coronavirus infections and deaths rise across Texas.

Gov. Greg Abbott has not responded directly to questions from reporters about who has the authority to order schools closed in areas hard hit by the virus, and the Texas Education Agency has sent mixed messages on reopening guidelines.

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WHAT HAPPENS IF I CAN'T GET HOMEOWNER'S INSURANCE?

A home is a significant investment, and it is important to take steps to protect that investment against potential costly damages. A standard insurance policy for homeowners covers your home and belongings in the event of unforeseen destruction. No one expects a house fire, but they happen every day. Unfortunately, there are circumstances that make it difficult to obtain homeowner's insurance, leaving you without a way to protect your investments. What are these circumstances that can leave you denied for coverage, and what should you do about them?

1. Your home is in a high-risk area, such as an area with high crime and theft.

Insurance companies are hesitant to insure homes that may potentially lead to regular claims. If your home is in an area where crime and vandalism are a regular occurrence, you may struggle to get a standard policy. The same can be said about areas that are at high risk of extreme weather events. If your home is in an area where natural disasters, such as tornadoes or flooding, occur often - it can mean your property is at high-risk of damage. This can lead to higher premiums or even denial of coverage outright.

2. Your home is old or in disrepair.

Another reason you may be denied coverage is due to the state of your home. Older homes may be charming in their own way, but they are typically more expensive to repair in the event of damages. They tend to have more distinct and unique architectural features that are difficult to replace. Plumbing and electrical systems may be old as well and in need of repairs or updates. There could be hidden problems, such as rotting or damaged wood, toxic mold or lead, and unstable foundations. These potential problems lead insurance companies to determine the risk is just not worth it.

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The Houston Rockets filed a lawsuit against the team's insurer for denying a claim to recoup financial losses caused by the Covid-19 pandemic, according to multiple reports.

Rocket Ball Ltd. and Clutch City Sports & Entertainment LP, the respective holding companies for the Houston Rockets and the Toyota Center, sued Rhode Island-based Affiliated FM Insurance Co. on July 15, according to Rhode Island court records. The lawsuit asserts that more than $700,000 in annual premiums were paid for $400 million in business-interruption coverage, according to Bloomberg Law.

A business-interruption insurance policy is typically written to protect a company in the wake of a natural disaster or another event that would cause actual physical damage to a building or other tangible property, the Louisville Business Journal previously reported. The Rockets are the first NBA team to sue an insurer to recoup losses brought about by the Covid-19 pandemic, per the reports.

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INSURANCE BATTLE THEIR CLIENTS OVER THE CORONAVIRUS

The legal and legislative fight over how much insurance companies must pay for coronavirus-related losses is just starting, and it's likely to get uglier.

Why it matters: COVID-19 is, as one insurance industry executive puts it, "the biggest insured loss event in history." For many companies, a successful insurance claim will make the difference between staying in business or going bust.

Where it stands: Insurance lawyers keeping tabs on the litigation say that hundreds of lawsuits have been filed against insurers over coronavirus-related claims — from companies like In-N-Out Burger, the Houston Rockets, and the nonprofit Simon Wiesenthal Center — with scant success so far.

What’s at stake, according to an insurance industry trade group:

• COVID-19 could generate $40 to $80 billion in insurance payouts in the U.S., and over $100 billion internationally.
• By contrast, 9/11 generated $47 billion, while Hurricane Katrina generated $54 billion.

The big picture: Companies naturally want to recover their losses. That's what insurance is for, in their view. But insurers argue that business interruption policies only cover physical damage — like the kind incurred during floods and fires — and that virus contamination doesn't count.

• They also say the industry couldn't possibly afford to foot the bills being tossed at it.
• "When the end of the world is coming and we’re being asked to pay for it, clearly that’s not something you can responsibly do," Robert Gordon, SVP of policy, research and internationalat the American Property Casualty Insurance Association, tells Axios.

So far, the handful of decisions that have been handed down in relevant cases have gone against the policy holders — who typically don't have enough money or time to pursue endless litigation against their insurers.

• "The insurers are probably likely to prevail in a lot of this," Alexandra Roje, an insurance lawyer at Lathrop GPM, tells Axios. "Does that mean that we should stop fighting the good fight? I say no."

JURY VERDICT ORDERS STATE FARM LIFE INSURANCE TO PAY $34.3M TO POLICYHOLDERS

The class action was filed in June 2016, in the Western District of Missouri by Michael Vogt and other individuals who owned universal life insurance policy form 94030 issued by State Farm.

The lawsuit alleged that State Farm breached the terms of the policies by overcharging policyholders through cost of insurance provisions causing policies to lose value and in many cases lapse, leaving many without life insurance.

Trial commenced June 1, 2018 and the jury awarded $34.3 million to approximately 24,000 Missouri policyholders. State Farm appealed to the Eighth Circuit asserting various errors and Vogt cross appealed. Vogt prevailed on all issues.

"We're very happy with the court's decision to affirm the trial court," said John Schirger, co-lead counsel and founding partner of Miller Schirger LLC. "We hope that these policyholders, who for decades were unknowingly overcharged, will soon finally receive payments."

DOES MAKING AN INSURANCE CLAIM RAISE MY RATES?

GOV. ABBOTT’S CORONAVIRUS TASK FORCE CONTRIBUTE $$$$ TO HIS RE-ELECTION CAMPAIGN

Members of Republican Gov. Greg Abbott’s coronavirus “strike force” have contributed hundreds of thousand of dollars to his re-election campaign as the number of COVID-19 cases and the death toll has mounted, records show.

Since naming members of the Strike Force to Open Texas in mid April, Abbott pulled in just over $640,000 from appointees or affiliated groups, according to his most recent campaign finance report on file with the Texas Ethics Commission. All had donated previously to Abbott, one of the most prodigious fundraisers in Texas political history.

The new contributions drew fire from ethics watchdogs and the Texas Democratic Party, the latter accusing Abbott of having “profited off this crisis” and calling on him to return the money.

“Abbott’s pay-to-play response to the coronavirus is exactly what we expected and exactly the same response as his political lodestar, Donald Trump,” said Texas Democratic Party spokesman Abhi Rahman. “Trump and Abbott have decimated Texas, and their shared policies have seen Texas set new highs for coronavirus infection rates, hospitalizations and deaths. Abbott’s contributions are unconscionable.”

John Wittman, a spokesman for the governor, and all but one donor did not immediately respond to requests for comment.

Can homeowners insurance deny claim?

Yes. Perfectly valid insurance claims are commonly denied. You have rights and can appeal the decision. Be sure to contact an experienced home insurance claim attorney today.