Suit: Homeowners stiffed on Ike claims

HOUSTON, Nov. 11 (UPI) -- A lawsuit filed by a homeowner says the Texas Windstorm Insurance Association underpaid claims for damages from Hurricane Ike.

The suit was filed Friday, the Houston Chronicle reported. Documents include internal e-mails obtained during discovery.

Steve Mostyn, who is also the lead council for discovery for claims against the TWIA over Hurricane Ike damage in Galveston County, said the association's estimates were based on below-market cost for materials.

"The game is rigged from the beginning," Mostyn said. "All the parts are designed for one purpose, which was to save money and underpay these claims every way they can, not by accident nor incompetence but a systematic effort."

Jim Oliver, a spokesman for the association, denied any effort had been made to cheat policy-holders.

"We hope that those viewing the documents will give the legal process time to work and are confident that it will show that TWIA's claim-handling practices are fair to our policyholders," Oliver said in a statement.