Homeowner sues insurance co. for reimbursement of personal property

A New Orleans resident is accusing her insurance company of failing to provide compensation for personal property she lost when her house was demolished by the city.

Alleging breach of her insurance policy, Margaret Thomas filed suit against Louisiana Citizens Property Insurance Co. July 15 in Orleans Parish District Court.

Thomas states that her property on Delachaise Street in New Orleans, collapsed in July 2008. The house was considered a total loss.

Thomas claims the city would not allow her to enter the property to retrieve any personal property before they demolished the structure the day after the collapse.

Thomas filed a claim on her homeowner's policy and the company paid the policy limits on the structure. However, "citizens did not fully compensate Thomas for the contents of the building or for the loss of use," the lawsuit reads.

In addition to compensatory damages, Thomas is seeking attorney fees, costs and interest.

Judge Michael G. Bagneris is assigned to the case.

Case No. 10-7314