Insurer won't pay on Chenal fire | Arkansas Blog

Monday, April 20, 2009

Insurer won't pay on Chenal fire

Posted By on Mon, Apr 20, 2009 at 10:59 AM

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Surprise. The insurance company is refusing to pay a claim on that mysterious fire at a Chenal Circle mansion (photographed pre-destruction), which owner Aaron Jones claims was torched by robbers who first tied him up. There have been no arrests, no news on possible motive.

Arkansas Business has the details, revealed in a lawsuit filed by Jones against Travelers Insurance, which has refused to pay a million dollars in claimed personal property losses. (It's unclear what, if anything, the insurance company might have paid on damage to the home, which has been sold.)  The money grafs:

Jones said he filled out all the insurance forms to receive $1.14 million for his loss, but Travelers denied the claim on March 27. (Jones had listed the loss and damage at $2.8 million in earlier filings with Travelers.)

Travelers said Jones “had the opportunity to set the fire,” the lawsuit said. Travelers also found that Jones “more likely than not … set the fire and staged the home invasion.”

Jones, however, disagreed and said Travelers unreasonably denied coverage and its reasons for denial are not “good-faith based.”

Jones may have other legal entanglements if this draft complaint goes forward.


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