News10NBC Investigates: Farmington man loses insurance coverage after filing claims for hail storm damage

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Farmington man loses insurance after hailstorm claim

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FARMINGTON, N.Y. – Shaun Jeffers was infuriated when his insurance company dropped him after he filed claims to repair damage from storms.

“My thought process was – that’s why you have insurance and it wasn’t negligence on our part it was just Mother Nature,” said Shaun Jeffers, who lost insurance after a hailstorm claim.

It wasn’t a cancellation. It was a non-renewal. And that’s a big distinction because there are virtually no protections against non-renewal decisions in New York State. Chief Investigative Reporter Berkeley Brean covered dozens of cases where people couldn’t get their insurance to repair damage from the summer hail storms. But this is the first case where someone lost their policy.

The hail storm hit Farmington in July. Within two minutes it turned into a downpour and poured down on Jeffers’ cars. Jeffers counted 30 to 40 gaping holes in the siding of his home and a cracked windshield. He filed a claim and the damage was repaired.

Berkeley Brean, News10NBC: “So in December the letter comes in the mail from State Farm and says we’re not renewing your policy. And when you read that you thought what?”

Shaun Jeffers: “My thought process was – that’s why you have insurance and it wasn’t negligence on our part it was just Mother Nature.”

The letter said “the risk is no longer acceptable” in part because of Jeffers’ claim history. It listed claims for wind damage in 2021, hail and wind damage in 2022, and the damage from the storm in 2024.

Berkeley Brean: “By filing these claims a homeowner is effectively putting a nail in their insurance coffin.”

Shaun Jeffers: “And when you’re within that five year window and you file two or more claims they will drop you.”

State Farm told Brean it doesn’t talk about customer cases. It says it considers a lot of factors including claim history.

“We look at each customer’s situation on a case-by-case basis,” spokesman David Phillips wrote in an email.

The New York State Department of Financial Services, formerly known as the Department of Insurance, says the only requirement is that a policy covers three years.

“Upon end of the three-year policy period, the insurance company can non-renew policy for any specific reason giving 45 to 60 days’ notice,” the department wrote.

40% of all home insurance claims in the country are for wind and hail and the average loss is $13,000.

Jeffers says State Farm told him he could re-apply for coverage after a period of no claims.

Berkeley Brean: “How long?”

Shaun Jeffers: “It’s probably until one of the claims drops off so five years from 2022.”

Berkeley Brean: “Five years?”

Shaun Jeffers: “Yeah.”

On Tuesday, Jeffers texted Berkeley to say he just signed a check for a new insurance policy. The policy is through Scottsdale Insurance.

“The only place that would underwrite the insurance for me,” Jeffers texted.

State law says insurance companies have to notify customers that they’re not going to renew a policy in writing 45 to 60 days before the end of the policy. The letter to Shaun Jeffers arrived within that window.

*A.I. assisted with the formatting of this story. Click here to see how WHEC News 10 uses A.I.*