Complaint Review: Waterford Place Apartments

We moved out of waterford apartments almost 2 months ago. We wanted to do a final walkthrough to go over any possible damages or stains, but we were told it was not necessary. We recently contacted their office because it seemed odd to us that they didn't want to do a final walkthrough, we had just found out that our son has brain cancer and seeing rising costs associated with this we wanted to make sure we weren't going to get some surprise bill in the mail as this would be the last thing we could deal with. Upon contacting them we were subsequently told that we owed $650 for cleaning and other move out costs that our normal renters insurance would not cover. We were then told that we purchased "Deposit insurance" that would have normally covered this, but because the Deposit Insurnace company would not pay out on the claim that Waterford place filed, we were now liable for these charges. Their explanation as to why the Deposit Insurance company would not pay out on the claim is as follows:

-Basically, THE MONEY RAN OUT!!!

-According to the Property Manager at Waterford Place, the Deposit insurance fee we paid upon move in($250) went into a pool along with all other tenants who paid this fee. When Waterford Place filed claims the Insurance company paid out on these claims from this pool. And the Property manager claims they did not know, or were not informed, that when the money from this pool ran out, they would not pay out on any additional claims and the Renter themselves would then be liable for all costs normally covered. The property manager then admitted flat out that if they had known about this, "they would have handled things differently", verbatim.

So to me, the Property Manager had just basically admitted that they misappropriated funds; that they "didn't know" the deposit insurance claims were all being paid out of the same pool. And not knowing this, just kept filing claims for other tenants who had been moving out and we just had the bad luck of moving out after all that money had been used to cover OTHER tenants move out costs. When I argued that point I was told that we signed an addendum that contained "verbage" stating if the Insurance claim was denied we would then be liable for all charges. They sent me a copy of our signed lease agreement and the addendum that supposdely contained this verbage, I found no language in any of it that stated we were liable for these charges in the event the Insurance company denied the claim. I know $650 is not a lot of money, but as I stated, we now have a child recovering from surgury and looking at 12 months of chemo and radiation, and to be told that we have to pay these fees because of someone elses screw-up, be it on the Waterford place side or the Insurance company side, borders on insanity.