Its been one year since super storm Sandy hit New York and left a chunk of the state’s neighborhoods flood-ravaged. With very slow progress for most people affected by the calamity, claims have pointed at the unfair insurance settlements and bureaucracy as being the main reason. It is not just the monetary aspects that stem issues in the resettlement of the victims; probably its only a very small part of it.
The major problems arise because of all the structuring of paper work and exhaustive documentation for claiming the funds for reclamation that takes a toll. There is a percentage of people who have gone through all the adversities and have steered through to start a new life; but the percentage is small and there is a huge number of victims who are still waiting for adequate help for the same.
The Insurance Woes:
The biggest challenge people are facing in terms of claiming their insurance is having to deal with the insurance helpers. The independent certifications from insurance companies, which are a mandate slow down the process. There is no motivation for them to act quickly for helping people in giving out these certifications as fast as possible. There have been about 404,000 claim applications to private insurance organizations submitted by NYC Sandy victims of which the rejection rate is one in five.
The State Department of Financial Services has received over three thousand complaints by the Sandy victims against the slow processing of applications submitted to insurance agencies. There isn’t any speedy action that has been noticed with respect to the amount of deluge the state has been through.
Insurers who claimed to have received unarguably and against normal situations, large number of insurance claim applications are being investigated into; the DFS opened the investigation in February 2012. People who opted for over forty life quotes and went for these insurers are facing very slow processing.
The Hurricane Katrina recovery process saw a lot of fraudulent cases for recovering money off the insurers and the government aid programs claims the New Jersey department of Community Affairs which responsible for the management and processing of the state HUD funds. The department also mention that Congress has also had its share in delaying the complete aid process; it took them three months for approving the $60 billion funding under the Sandy Aid Program. Adding to this, they mentioned of a New Jersey state program which relieves victims of going through this procedure for claiming relief aid. The program called the $10,000 Resettlement Program has already dispatched aid checks for over 14,500 homes.
Senator Charles Schumer, D-N.Y. realized the importance of the aid money for victims to settle back into their regular lives but also mentioned the need for a regulation on all the money that was going out to avoid any wastage of the aid work. It is important that the money goes out to the right people for the right cause. He commented on the process being a tad too slow in the first year for anybody to gulp but ensured the aid funds would go out to the right people. The second year is aimed at being much more organized and dynamic in comparison with the first.