Recently, a restaurant property in Dallas, temporarily vacant between tenants, suffered a devastating fire. When the owner reached out, they were preparing for an Examination Under Oath (EUO) — often a signal that the insurer suspects potential fraud. Additionally, the insurance carrier questioned whether the fire had caused a total loss.

Under Section 862.053 of the Texas Insurance Code, a fire that results in a total loss of insured property (excluding personal property) establishes a liquidated demand for the full policy amount. After navigating the EUO, we shifted focus to assess the fire’s impact on the structural integrity of the building’s roof and walls.

Though the fire affected only about half of the property, extensive water and structural damage ultimately required the entire building to be demolished, confirming a total loss.

This case highlights the importance of understanding your rights as a property owner — and the complexities involved in navigating an insurance claim after a catastrophic event. Questions? Call the Hoch Law Firm at 817-731-9703. There is no charge for a consultation or conversation.