Homeowners insurance is designed to cover property damage to your home and belongings in an event of accidental fire, theft, or severe storm. However, you need to follow the proper claim process lest it could jeopardize your chances of getting compensation. Before you commence your claim processes, go through your policy to ensure that it covers the specific event. This guide will tell you everything you should know about filing a homeowners insurance claim.
File a report with the police or survey the damage
Depending on the nature of the damage, the first thing you might want to do is contact the police. It is actually a legal requirement that will help bolster most insurance claims. The police will write a report you will require for a theft claim with your insurance company. If your claim pertains to a natural disaster such as a hurricane or wildfire, a police report is unnecessary. Instead, hire a professional inspector to assess the damage extent and document it before contacting your insurance company. Keep everything that was damaged as you will need them as evidence during assessment by the insurance inspector.
Inform your insurance company
The other key step is to contact your insurance company and inform them about the damages incurred by the eventuality. They will let you know if your policy covers your claim. Moreover, they will tell you how long you have to file your claim, an estimate of the loss amount, and how long the claim process might take.
Fill out the claim forms
Next, you will be required to fill in the claim forms and provide your personal information, causes of damage and loss, and estimated loss amount. Evidence such as photos and video, receipts, and a home inventory will also be required. Keep in mind that making mistakes such as giving the wrong estimate and inadequate evidence could compromise your compensation. This is why it is important to have a lawyer help make a proper claim. For example, you can contact a local hurricane insurance claims lawyer in case of a hurricane disaster. Yes, with their expertise and experience, they will help you fill in the claim and provide adequate evidence to validate the loss. They will work in your best interest to fight against bad faith tactics often used by unscrupulous insurance companies.
Make temporary repairs
Further damage that would occur after filing your claim may not be reimbursed. Thus, you’ll want to make temporary repairs to avoid additional damage. For instance, in case of a leaking roof, repair it, so your property is not damaged further. Keep the receipt of the temporary repair as evidence for reimbursement by your insurance company.
Get ready for the insurance adjuster
Once you file a claim, your insurance company may investigate the damages and especially if the claims are significant. They will send an insurance adjuster to assess the damage before they can proceed with the compensation process. The adjuster will investigate the cause of the losses and if it is covered in your policy.
Moreover, they will want to assess any evidence available like photos, damaged property, inventory, and receipts. The adjuster may also want to interview you. Again, it is best to hire an attorney to represent you during the assessment. If you lack prior experience, the adjuster may trick you into giving contradicting information forcing you to settle for a low-ball offer or nothing at all!
Obtain repair, replacement rebuild estimates
Estimate the repairing, replacement, and rebuilding costs from licensed contractors or appraisers. Insurance companies are in business and thus offer you the least settlement amount possible. With an estimate, you will know when insurance policyholders lowball your settlement amount. This way, you will only accept an offer that will cater to the repair, replacement, and rebuilding without you incurring any extra losses.
Receive the settlement and complete repairs
Upon the approval and agreement with the adjuster, you will receive your payout after around 30-90 days. The process will be quicker if you file your claim faster and provide all the required information and documentation for compensation. If you are on a mortgage, the policyholder will send a cheque to you and the lender. This is to ensure the necessary repair is being made to their property. If your personal property is insured at its replacement cost, the insurer will send you a cheque for the property’s actual value less depreciation. The policyholder will reimburse the remaining settlement amount upon replacement of the property.
Wrap up
In case of property damage and loss, homeowners’ insurance will reimburse you to your initial state. However, this will only happen if the policy covers the loss. A mistake in the claim process could also jeopardize your compensation. Thus, it is imperative to follow the appropriate guidelines and seek professional help from a qualified and experienced lawyer.
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