Insurance claims after storm damage: Your questions answered

A local family lost two homes in two years due to Hurricanes Matthew and Irma. They said their $140,000 insurance check was held hostage, until WFTV Action 9's Todd Ulrich got involved.

The couple got their money back, but what happened to the Ford family could happen to anyone. Ulrich asked a real estate attorney about what you can do to prevent hurricane damage nightmares.

1. At one point can I turn to state regulators if that money is not being released?

Florida does have an insurance commission that regulates insurance companies. Complaints are taken seriously, but the agency is going to want you to prove that you’ve done everything you can to get a response.

2. Does Florida have a specific protection?

No, but Texas has a very well-thought out program where if you, as a homeowner or as a policy holder send a note to the insurance company asking for the release of the insurance proceeds, they (the company) has a certain amount of days to respond. Once the agency sends it to the bank, the insurance company has to tell the homeowner. The bank then has to tell the homeowner it was the money and the bank must, in writing, give you a checklist of things you need to do to get the money released. We don’t have this in Florida, but the legislature should seriously consider it.

3. We went to a lender and got a six-month forbearance. At the end, we had to either pay in full or take a loan modification. But the bank was going from a 30 to a 40-year payment.

Beware the forbearance. It’s not a gift. The banks are offering it because they have to. The interest rates go up, the payment goes up.

WATCH: Todd Ulrich answers your questions about insurance claims

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