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Double payout

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What is the name of your state?What is the name of your state? Missouri
The sewers backed up and waste came into my house. I called both my home owners insurance and MDS (sewer company). Both companies came out to look at the damage. My Home Owers insurance paid for the phyical damage of the room. I also recieved a notice from MSD stating that if I gave them a list of the items I lost they would reimburse me for them. So I made out the list and I received a check for the items. In the mean time my Home Owers also asked for a list of items lost and to my surprise also paid for some of the loss. Since it is almost impossible to get a true replacement cost when you have such a total lost, I thought it was ok to keep both checks. Just recently I received a call from my Home owners Insurance and they wanted to know if I received double payments from MSD on items lost. I told them I was not sure and would have to call back. Did I break a law by collecting money from my Home Owners insurance and from MSD (sewer company)? I was not trying to cheat anyone.
Thanks for any help that anyone can give me



Sophia, the first law of insurance is that it provides indemnity against loss -- that is, you should be made no better or no worse by the loss. You should be able to obtain compensation for the actual cash OR replacement value of the loss, depending on contract.

I don't think the question is whether you have "broken a law," but rather whether you have violated a contract. I doubt that "it is almost impossible to get a true replacement cost" would provide a valid defense.

I would expect the companies would want to know or decide which coverage is primary, and most probably the secondary coverage would kick in to reimburse you for unreimbursed loss after the primary coverage has fulfilled its contract. If you have been paid in excess of value lost or coverage available, the company in question would seek reimbursement from the other company or from you.

Punchline: you don't sound to me like you are on solid ground here.


Senior Member
Raisinette is correct. Though unlikely that your conduct raises to the level of 'insurance fraud', you need to tell your insurance provider that you did receive compensation from MDS, for what and how much. The insurance company will then determine if their is a 'double recovery'.
Your defense of..... 'extra money was due' won't stand.

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