Insurance shenanigans

[Chardae]

Hello, this is a property damage issue. The city I live in water department accidentally turned my water on and caused it to flood my home. Since the incident, I have been working with the water co legal dept while they conducted an investigation. After 3-4 months of investigating, they concluded they were at fault and was liable for the damages. However, they cannot pay until I go thru my insurance co first. Thus, they advised me to file an insurance claim with my homeowners insurance; the city said, if my insurance covers it (under the sudden and accidental) clsuse, then the city would pay my $1000 deductible and whatever else the insurance didn't pay. IF insurance did not cover it, the city would pay all damages. Now that I've file a claim with my insurance co, they are stonewalling me, and giving me the run around. They sent an adjustor out, did an investigation, and contacted one of the contractors whose estimate I provided to them. The contractor contacted me and said they received an "assignment" from my insurance co. The damages and repair were approximately $18,000. They went back and forth with the contractor and agreed on prices and work. Then out of nowhere, my adjustor said they are not going to pay, and have to conduct another investigation, but won't disclose exactly what is being investigated. They already have all of the documentation, 4 estimates, and my statement. Additionally, they said they would pay the claim, transfer my file to their subgorgation dept to recoup the monies from the city who actually caused the damages. I am perplexed. Isn't it practical and logical to conduct the investigation FIRST? not after you've talked to the contractor and approved the estimate? Something isn't adding up..