Politics · India Bureau
Texas court reopens homeowners' insurance dispute over landslide damage
A Texas appeals court has overturned a lower court ruling in a closely watched insurance case involving property damage from earth movement. The decision sends the case back for further hearings to determine liability for losses sustained by two homeowners whose backyards were destroyed.
LSN India ·
The Texas Third Court of Appeal has reversed a previous judgment that found an insurance company liable for damages in Travis County, reopening a legal dispute over whether home insurance policies cover losses from landslides and earth movement.
Two homeowners had filed claims after significant damage to their properties, which they attributed to earth movement. The insurer subsequently denied coverage, prompting the homeowners to pursue legal action. A lower court had previously ruled in their favour, holding the insurer responsible for the damages.
In its decision, the appeals court has required the insurer to present evidence demonstrating the precise cause of the landslide at the properties. This ruling suggests the court views the determination of causation as central to resolving the coverage dispute.
The case raises important questions about the scope of homeowners insurance policies in Texas and how insurers and courts define coverage for damage resulting from natural earth movement. The case will now return to court for additional hearings as the legal process continues.