Case Study: a property and casualty insurance carrier reduces disputed chemical fire claim costs with Vertex Engineering Group

a property and casualty insurance carrier reviews $8.5M in remedial costs with Vertex Engineering Group

Vertex Engineering Group was retained by a property and casualty insurance carrier to review a substantial claim for remedial costs. The claim originated from a fire and explosion at a petrochemical facility in Texas, which released petroleum products and required extensive environmental cleanup. The customer's challenge was to validate approximately $8.5 million in costs submitted by their insured for these remediation activities.

Vertex implemented a forensic consulting solution to analyze the claimed expenses. Their review identified that $3 million of the costs were disputed, as they were unrelated to the actual remediation. These disputed costs included expenses for firefighting, removal of clean materials, excessive markups, and other unjustified fees. By providing this detailed analysis, Vertex helped the insurance carrier achieve significant cost savings on the claim.