This claim was identified during our First Notice of Loss Review Program for one of our property clients involving a water damage claim due to a finishing nail which penetrated a pipe in the insured residence during renovations when the plumber failed to install nail guards on two studs where the hot water pipes were located. When the finish carpenters installed the base moldings they drove a nail into the stud striking the copper pipe within. The at- fault plumber was identified by our investigation and the third party carrier placed on notice.
Negotiations reached an impasse as the carrier would not accept any liability and we therefore submitted the claim to Arbitration Forums. Contentions were carefully worded and presented with photographic evidence which supported our position and liability against the plumber. A favorable decision was rendered for an award of $21,329 representing a 100% recovery for the client.