Homeowners Sue Over Denied $50K Insurance Water Damage Claim
Table of Contents
A Home Leak Led to Legal Action
On February 22, 2022, Francois and Marceline Julmis experienced a plumbing leak in their home at 245 NE 123rd Street in Miami. The leak caused sudden interior water damage to the insured property. At the time of the incident, they maintained an active property insurance policy issued by the Respondent, an insurer licensed in Florida. Believing the damage fell under their policy’s “all risk” coverage, the Julmises submitted a claim for the loss.
A Disputed Denial of Coverage
Instead of approving the claim, the company denied coverage. The denial rested on policy exclusions the insurer believed applied to the plumbing-related damage. However, the Julmises disagreed. They argued the policy did not clearly exclude the type of damage their home sustained. The dispute centered on whether the leak-triggered damage qualified as a covered loss.
No Bodily Injury—But Property Harm
This case did not involve physical injury. Instead, the harm stemmed from alleged property damage caused by water intrusion. The leak disrupted the Julmises’ home, triggering costly repairs and affecting their property’s condition and use. The legal conflict arose from the insurer’s refusal to adjust or appraise the damage.
Financial Consequences and Legal Costs
Though the Julmises did not seek a specific dollar amount in this suit, they claimed the loss exceeded $50,000. Their complaint focused on securing a legal declaration that the policy covered the incident. They also asked the court to compel the insurer to engage in appraisal and adjust the loss. In pursuing the case, they incurred attorney’s fees and costs, for which they requested compensation under Florida law.
Key Arguments and Proceedings
Legal Representation
Plaintiffs: Francois Julmis | Marceline Julmis
Counsel for Plaintiffs: Vyacheslav Borshchukov
Defendant: Citizens Property Insurance Corporation
Counsel for Defendant: Luis N. Perez
Legal Claims and Relief Sought
The Julmises filed a one-count petition for declaratory relief under Chapter 86 of the Florida Statutes. They asked the court to declare their rights under the policy and determine whether the damage resulted from a covered loss. They also sought an order requiring the insurer to participate in the appraisal process and fulfill its duty to adjust the claim. Additionally, they requested attorney’s fees and costs as permitted by Florida law.
Defense
In its response, Citizens Property Insurance Corporation (CPIC) admitted issuing the policy and assigning a claim number but denied that the damage reported by Francois and Marceline Julmis was covered under the policy. CPIC asserted that the observed damage, specifically to the sink cabinet, was consistent with lack of maintenance rather than a sudden plumbing leak, and therefore did not qualify as a direct physical loss under the policy’s terms.
As part of its affirmative defenses, CPIC argued that the policy expressly excludes coverage for damage resulting from faulty design, poor workmanship, wear and tear, or age-related deterioration. Additionally, CPIC claimed the Plaintiffs failed to meet their post-loss obligations, including timely notice, preservation of damaged property, and cooperation with inspection and documentation requests. CPIC reserved the right to raise further defenses as the case proceeds.
Jury Verdict
On January 16, 2025, the jury found in favor of Petitioners Francois and Marceline Julmis. They determined that the Julmises proved their property sustained direct physical loss during the policy period of January 10, 2022, to January 10, 2023. The verdict, returned in Miami-Dade County Court, confirmed coverage under the policy and supports the Julmises’ claim against Citizens Property Insurance Corporation.