An accident or act of nature that severely damages your home can be devastating, both financially and emotionally. By the same token, a home break-in and theft of your property can be traumatic and stressful. Luckily, your homeowners insurance can help you get your home restored and your life back on track after you've suffered a loss. Find out what you can do as a homeowner to help the claims process go smoothly and avoid a denied claim.
When a crisis occurs, sometimes remembering exactly what you lost can be difficult. Taking a little time to document your home's condition and contents before anything goes wrong can go a long way toward smoothing out the claims process. Some great ways to keep a record of your home and possessions include:
If you do suffer a loss, documentation continues to be important. Cell phones, digital video recorders and digital cameras allow you to create visual documentation of damages instantly and e-mail them to your insurance company right away. To keep the claims process as smooth as possible, hang onto copies of visual documentation you submit to your insurer. Additionally, keep copies of all documents related to your claim including claim forms, receipts, estimates and police reports.
If disaster strikes, your homeowners insurance policy can only help you if you keep it up-to-date. Forgotten premium payments can result in a lapsed policy and denied claims. Over the years, your home is probably increasing significantly in value. Perhaps you've made home improvements, or simply accumulated more valuable possessions. Another important way to be prepared is to evaluate your homeowners insurance plan periodically with your agent to be sure you have sufficient coverage in the event of a loss.
Many insurance companies require you to notify them of a claim within a specified time after your loss. If you miss the deadline, this could result in a denied claim. As soon as possible, be sure to let your insurer know you've suffered a loss and let them guide you through the claims process. Although you may be tempted to throw out things in your home that have been damaged beyond repair, this could hinder your claims process. When your claims adjuster comes to inspect your home, he or she needs an accurate picture of the damage in order to process your claim efficiently.
After you've filed your claim and been assigned a claims adjuster, your claim will be classified as falling into one of two major categories:
After a loss, you'll want your home restored as soon as possible. If you take the time to get some repair estimates, your claims adjuster may be able to approve your claim right away and authorize your repairs to begin immediately. Talk to your insurance company about this to see if they'll accept and reimburse repair estimates from a third party you hire.
Today's small hole in the roof can lead to severe water damage in your home tomorrow. Although the damage a home suffers may leave your home vulnerable to further damages, many homeowners are afraid to make any repairs until their claims are approved. The truth is if you don't make necessary temporary emergency repairs, your insurer could hold you responsible for additional damage that occurs and deny those claims. Experts recommend that you make any temporary emergency repairs needed to protect your home right away. Be sure to give your insurance adjuster a copy of the bills for these repairs, and keep copies for your own records. Any permanent repairs should wait until after you have approval from your adjuster.
Your homeowners insurance claims adjuster isn't the enemy. He or she is working hard to come to a settlement that is fair to everyone, and your cooperation will help decrease the chance of denied claims. Here are a few ways you can work with your adjuster to get your claim processed as quickly as possible:
When you purchase your homeowners insurance policy, spending a little time reading and truly understanding your policy can really help you if you ever need to file a claim. Although claims adjusters are generally honest and competent, experts still advise not relying on them exclusively to inform you about your coverage. Take the time to know:
Even if you find your specific loss is not covered on your homeowners insurance policy, you may still benefit by contacting your insurance company. While you won't receive compensation for an uncovered loss, you may be compensated for living expenses if you need to find other lodging while your home is being repaired.