John Muir Health suffered significant water damage at its behavior health facility in 2016 which caused extensive property damage and rendered at least half of its second-floor facility inoperable at all times over the course of 18 months.

Stout was hired by the client through its insurance broker to prepare a property damage and business interruption claim under John Muir’s property policy, as well as a claim for mold remediation and business interruption under John Muir’s pollution policy.

Given the complexity of code requirements at healthcare facilities and behavior health facilities, the restoration was complex and multi-phased, remaining incomplete until 2021.

As part of Stout’s claim preparation work, we worked with the client and its vendors to understand the costs incurred to remediate the damage. This required review of each invoice to properly categorize the costs between the property and pollution policies.

The business interruption calculation involved reviewing years of historical and forward-looking financial data to establish an expectation of John Muir’s financial results had the event not occurred.

Our team helped the client recover the vast majority of its eight-figure insurance claim after years of negotiations with John Muir’s insurance carriers.