Colorado HOA sues QBE for withholding $2 million in hailstorm benefits

A Colorado homeowners’ association is suing QBE Insurance Corporation, claiming the insurer withheld more than $2 million in benefits after a 2023 hailstorm.

Precedent at Stony Creek Homeowners Association filed the lawsuit in Denver County District Court on February 24, 2026. The case was later removed to the US District Court for the District of Colorado. The suit accuses QBE of breach of contract, statutory bad faith, and common law bad faith in its handling of a large-scale property damage claim.

According to the court filing, the trouble began on June 22, 2023, when a significant wind and hailstorm struck the Littleton, Colorado area. The storm brought winds of 55 to 60 miles per hour and hailstones up to two inches in diameter. A tornado reportedly touched down approximately twelve miles away. The HOA says all thirty buildings in its community sustained catastrophic damage to roofs, siding, gutters, windows, screens, and garage doors…

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