Lawsuit Investigation: Are Banks Docking Loss Draft Insurance Checks for Inspection Fees?

Last Updated on March 7, 2023

Investigation Complete

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At A Glance

This Alert Affects:
People who submitted claims to their homeowners’ insurance for more than $10,000 and were required by their bank to have their property inspected before getting a check for the damage.
What's Going On?
It’s believed that some banks are passing off the cost of these inspections to the homeowners themselves. Attorneys working with believe that this practice violates the homeowners’ mortgage agreements and are looking to get class actions filed.
How Would I Know If I Was Charged for the Inspection?
Unfortunately, you may not know. For some, the inspection fees are either taken out of the insurance check or deducted from the homeowner’s escrow account.