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However, Judge Pechman said there are “material facts in dispute” as to whether the insurer's offers to the couple were actually fair and reasonable, including claims that Homesite refused to cover necessary repairs.

Although these issues will be left for a jury to decide, the judge did note the following: “While Homesite claims that it has never disputed coverage, there does appear to be a dispute both about the scope of coverage and whether Homesite has improperly refused to pay for certain damages, including, for example, the cost of mitigation.”

Following the appraisal award in May, Homesite was ordered to pay the Bennetts approximately $152,000 for those costs following the appraisal award, according to court records.

In September 2021 the Bennetts sued Homesite in Washington state court, alleging the insurer made lowball offers to cover the fire damage to their home sustained in December 2020. Mr. And Mrs. Bennett claim that Homesite made unreasonably low offers of $30,000 and $70,000 to cover them for repair and mitigation costs, amounts that were far below estimates the Bennetts received from other contractors.

The couple also alleges that Homesite’s claims handling process contained “numerous investigative and mitigation failures,” they say that, included them relying on overworked and under-qualified claims adjusters to analyze and determine their covered losses.

The Bennetts are suing Homesite for breach of contract, bad faith, and violations of Washington’s Consumer Protection Act and Insurance Fair Conduct Act.

Attorneys for Homesite argue that it conducted a complete, thorough, and fair investigation of the couples’ claims. Homesite says the fact that its offers were less than the appraisal award, is not enough in itself, to support claims of bad faith or violations of Washington law.