40 Rooms Offline. 6 Weeks of Revenue Lost.
The Carrier Scoped the Roof and Closed the File.
Hospitality storm claims carry three distinct revenue streams. Carrier adjusters document one. The other two — room revenue business income and extra expense recovery — represent the majority of the actual economic loss.
Peril Adjusters provides forensic indemnification for Texas hospitality properties — hotels, motels, extended-stay, and resort properties. Our fee is 10% of the additional recovery. No recovery, no fee.
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The Hospitality Storm Claim Framework
When a hotel or motel takes storm damage, the economic exposure has three components. The carrier’s adjuster is trained — and incentivized — to document only the physical property damage and close the file.
Physical Property Loss
Roof systems, exterior cladding, window systems, HVAC, corridor flooring, and common areas. This is the only exposure the carrier scope addresses. It is typically under-documented by 15–40%.
Business Income — Room Revenue
Revenue lost while rooms are uninhabitable during the repair period, calculated against occupancy history. This is a direct policy coverage almost never raised on hospitality files by carrier adjusters.
Extra Expense Coverage
Costs to maintain operations during repairs: staff relocation, guest displacement accommodations, temporary facilities, equipment rental. Documented and claimed on every qualifying file.
The Numbers
| Carrier Initial Scope | Roof only — $95,000 |
| Rooms Offline During Repairs | 40 units × 6 weeks |
| Occupancy Rate (pre-loss average) | 85% |
| Business Income Recovery | Room revenue × occupancy × repair period |
| Matching Material Recovery | Exterior cladding + corridor carpet — full system |
| Total Supplemental Recovery | $340,000 above carrier offer |
Four Suppression Tactics Specific to Hospitality
1. The Physical-Only Scope
The carrier scopes the roofing system, submits the estimate, and considers the claim complete. Business income for uninhabitable rooms and extra expense for operational continuity are never raised — because raising them is not in the carrier’s interest.
2. The Corridor Material Depreciation Tactic
Interior corridor flooring, wall covering, and common area finishes that sustain water intrusion damage from roof penetration are often depreciated at commercial building schedules that don’t match the asset’s actual condition or the hospitality industry replacement cycle.
3. The Guest Displacement Exclusion
Extra expense coverage for displaced guest accommodations — costs the property incurred to house guests relocated from damaged rooms — is routinely excluded from carrier scopes. Texas commercial property policies frequently include this coverage. It requires documentation the carrier will not request.
4. The Occupancy Rate Dispute
When business income is finally claimed, carriers challenge the occupancy rate used to calculate lost room revenue, attempting to substitute their own lower estimate. Our documentation protocol locks in the pre-loss occupancy rate with 12 months of PMS data before the claim is filed.
Full Property Inspection — Roof system, exterior envelope, HVAC, corridors, common areas, and all ancillary structures. Drone imaging on all multi-story properties.
Revenue Documentation — PMS occupancy data, ADR history, and revenue per available room — locked in before the carrier can dispute the baseline.
Business Income Calculation — Room revenue loss for the period of restoration. Extra expense quantification for displaced guests and operational continuity costs.
Policy Analysis — Full review of commercial property policy, business income endorsement, extra expense coverage, and period of indemnity provisions.
Supplemental Proof of Loss — Comprehensive documentation package. Submitted under Texas Prompt Payment Act compliance deadlines.
Escalation — TDI complaint, appraisal invocation, or 14-day demand notice if the carrier refuses to negotiate on the documented figures.
The Carrier Scoped the Roof.
We Scope the Entire Economic Loss.
Room revenue, extra expense, matching materials. Three exposures, one engagement, 10% contingency. No recovery, no fee.
Hospitality Property Claims Specialist
10% Contingency — No Recovery, No Fee
Serving All Texas Markets
14813 S Padre Island Dr, Corpus Christi, TX 78418