Your home is likely one of your largest investments and assets. Home insurance protects that investment by providing coverage for repairs or rebuilding in the event of fires, storms, theft, and other covered damages or losses.
While no one wants to endure property damage, at some point most homeowners will need to file an insurance claim.
Common reasons homeowners file claims include fires, hurricanes, tornadoes, burst pipes, fallen trees, vandalism, and theft. When incidents like these occur, having proper home insurance allows you to repair or replace what was damaged and make your home whole again.
However, the insurance claims process can sometimes be complicated and tedious. By understanding the key steps and your responsibilities upfront, you can improve your chances of a successful, properly paid claim.
Step 1: Report the Incident Promptly
As soon as the damaging event occurs, contact your home insurance company immediately to report the claim. Many insurers have 24/7 claims hotlines to provide a claim number and begin the process right away. The sooner you notify them, the sooner they can assign an adjuster and investigate.
When first reporting the claim, provide basic details like the date of the incident, a description of what happened (e.g. fire, storm damage, etc.), and a general overview of the estimated damages based on your initial assessment. Your insurance company will let you know what other information is needed and outline next steps.
This is one of the most crucial parts of filing a successful home insurance claim. Thoroughly document all damages with photos and videos before making any temporary repairs. Capture interior and exterior damage, plus details like make, model, and serial numbers to support replacement costs.
Make a detailed list of every damaged or lost item with descriptions, ages, and estimated values or replacement costs where possible. Save receipts or documentation that can substantiate the value of destroyed items.
Additionally, keep a record of all communications, conversations, emails, and letters with your insurance provider and any contractors throughout the claims process. Log dates, times, issues discussed, and full names of representatives you speak with.
Step 3: Make Temporary Repairs (If Needed)
While your insurance company investigates and processes the claim, you have a responsibility as the homeowner to prevent further damage to your property and possessions from occurring. Take reasonable temporary measures like boarding up windows, patching holes in the roof, extracting water, etc.
Keep receipts and invoices for any supplies purchased or emergency services contracted for these temporary protections. Your insurer should reimburse these reasonable expenses as part of the claim.
However, avoid making permanent repairs until an adjuster has inspected and documented the initial damages. Making full repairs before then could affect or reduce your settlement amount.
Step 4: Cooperate with the Insurance Adjuster
Your home insurance company will send out an adjuster to inspect the damages you reported and assess the scope of the claim. Fully cooperate and allow the adjuster to document the home’s condition. Provide any records, photos, contractor estimates, or other details they request.
At this stage, the adjuster may provide an initial estimate for repairs. Don’t necessarily accept this number if it seems too low. Have contractor quotes ready to counter if you disagree with the evaluation. You have the option to negotiate further, but don’t feel pressured to accept an inadequate settlement offer at this stage.
Step 5: Review the Insurance Company’s Settlement Offer
After the adjuster’s inspection, you will receive the insurance company’s official settlement offer detailing their payment amounts for repairing damages or replacing lost items. Carefully review this offer to ensure it fully covers the repairs and replacements you anticipated based on contractor estimates.
If you disagree with how certain items or repairs were valued, or if reasonably expected expenses were excluded, don’t hesitate to negotiate with precise documentation and quotes that support your position. Their first offer may be on the lower end initially.
This is where having documentation like contractor quotes, receipts, manufacturing info, and age/condition details for your damaged belongings can substantiate higher repair/replacement costs than what was initially offered.
Step 6: Complete Repairs and Submit Paperwork
Once you’ve successfully negotiated and accepted a settlement, you can move forward with completing repairs. Hire reputable, licensed contractors to perform the approved work only after the adjuster has their chance to assess and document the damages firsthand.
Save all receipts, invoices, and any other records related to the repair work. As repairs are completed, submit this documentation along with any required inspection certificates or contractors’ proof of work to your insurer for approval and closure of the claim process.
Ensure you understand if the settlement payment was issued as recoverable depreciation, which may require submitting paperwork and awaiting insurer review before receiving full reimbursement for repair costs after the fact.
Here are some additional tips for improving your chances of a smooth, properly paid home insurance claim:
● Understand your policy coverages, limits, deductibles, and exclusions up front
● Be responsive in providing details and documentation requested by your insurer
● Strictly follow all instructions and meet all deadlines set by the insurance company
● Keep detailed records of all damages, estimates, communications, receipts, and costs
● Consider hiring a public adjuster to objectively evaluate damages and advocate for you
● Don’t feel obligated to accept an unsatisfactory settlement offer. You can negotiate!
While not always necessary for smaller claims, hiring professional help is advisable for larger, more extensively damaged claims involving complex repairs and large potential settlements. Reasons to hire a public adjuster, lawyer, or other professional include:
● Your home suffered major/widespread damages from a fire, natural disaster, etc.
● You struggle with accurately documenting damages and values of lost/damaged items
● You need qualified representation for aggressively negotiating the best settlement
● Your initial settlement offers seem unreasonably low for the damages sustained
Licensed public adjusters are professionals who solely represent you (not the insurer) and can help substantiate your damages, Coverage Counsel lawyers advise on policy provisions and your rights.
Dealing with a home insurance claim after property damage can undoubtedly be stressful, complicated, and fraught with potential pitfalls if not navigated properly.
Following the key steps above – promptly reporting, diligently documenting, cooperating with inspections, thoroughly reviewing settlement offers, and completing repairs – can put you in the best position for a successful resolution.
More importantly, be your own advocate throughout the process. Don’t hesitate to negotiate for what you’re rightfully owed under your policy, and if needed, hire professional public adjusters or attorneys who can forcefully make your case. Being armed with detailed documentation and repair estimates proves invaluable.
Ultimately, having adequate home insurance coverage and following best practices for filing claims allows you to more easily recover and rebuild after experiencing property loss or damage to your biggest asset – your home. Remain diligent in protecting that investment.
1 comment
Leave a Reply
You must be logged in to post a comment.
Uchechi Maryvianney
Okay