Tips for Making Homeowners Insurance Claims
If you need to file a homeowners insurance claim, you can improve your chances of success if you start planning ahead of time. These pointers can help you understand what to expect when dealing with your insurance company.
You should keep meticulous records of your property and ensure that you understand the limits and exclusions of your policy. Following a disaster, you should be responsive to your insurer's requirements and ensure that you can provide a detailed record of your property and the disaster when requested.
What to do if you have to make a homeowners insurance claim:
- Make an itemized list for future insurance claims
- Understand how to deal with insurance adjusters
- Document your interactions with the insurance adjuster
- Report any damage to your property
- Make necessary repairs to your property
- Fill out homeowners claims paperwork on time
Make an itemized list for future insurance claims
Before a disaster, you should start keeping an itemized list of your belongings to keep track of the value of your home and its contents. This list should include everything you own, as well as the prices and dates of purchase. You should keep your receipts to go along with your itemized list.
Keeping a list like this will help you determine how much you'd be able to replace if you needed to file a homeowners claim. For example, if you purchased a policy with $150,000 in personal property insurance but your itemized list shows you own $200,000 in property, you would know to increase your coverage ahead of time.
Knowing how much your items are worth and what you have allows you to know when to add extra coverage. Insurance companies typically provide limited coverage for special items such as jewelry or handguns. For example, if you didn't have an endorsement or floater attached to it, an expensive necklace or brooch might only be protected for a fraction of its cost.
Having a list makes it simple to account for all of your belongings if your house is destroyed. You probably know what kind of computers or tablets you have and could guess how much they would cost if you needed to replace them, but imagine your home was completely destroyed by a tornado and you lost all of your belongings. Without an itemized list, it may be difficult to keep track of the items you lost and their prices in this situation.
Understand how to deal with insurance adjusters
When you file a claim, you'll be assigned an insurance adjuster. Insurance adjusters work on behalf of your insurer to assess the damage to your property and make a decision on your claim. The job of an adjuster is to reduce payouts for the insurance company.
Never make any statements that could be interpreted as an admission of guilt. For example, if a tree fell through your window, you should not tell your insurance company that you had been worried about the tree for a long time. The adjuster could use this information to prove that your negligence caused the damage, and you would not be compensated.
However, you must always be truthful with your provider's insurance adjuster. Misrepresenting or concealing information to the adjuster is considered fraud, and you may face legal consequences if you commit fraud, in addition to having your claim invalidated.
Document your interactions with the insurance adjuster
When you are assigned an insurance adjuster, you should keep a journal or spreadsheet to record any interactions. You should not, however, make audio or visual recordings of your adjuster without their permission. Instead, keep a record of the date and time of your conversations, as well as a brief explanation of what was said. If possible, obtain paper or electronic copies of any reports or statements made by your adjuster.
If you are uncomfortable dealing with an insurance adjuster, you may want to consider hiring your own insurance adjuster to assist with your claims process. Public adjusters communicate with your insurer's adjuster on your behalf, and they may be able to help you avoid any hidden pitfalls during the claims process. If your claim is successful, public adjusters will receive a percentage of the proceeds.
Report and document any damage to your property
You should notify your insurance company as soon as your property is damaged. If you witness a crime, you must also report it to law enforcement. The report you file with law enforcement will be used to support your insurance claim. Your policy may also require you to notify agencies such as your credit card company after specific losses, such as identity theft.
You should keep a detailed log of the incident, including pictures or a written description of the damage to your property. Begin an inventory of your property by gathering any receipts or descriptions of your items if you don't already have one.
You could also obtain repair quotes from professionals. This information may help you form a more accurate picture of the loss you suffered. In any case, it's critical to keep the insurance adjuster updated throughout the process to ensure that your plans are approved by your provider.
Make necessary repairs to your property
Your policy may require you to make reasonable repairs immediately following an incident in order to protect the property from further damage. In fact, failing to make these necessary repairs may force you to incur additional costs that your insurer will not cover.
Assume a tree smashes through your window during a heavy thunderstorm, allowing rain to pour in and soak your office. You are unlikely to be able to move the tree out of your office on your own, but you may be able to move any non-damaged property from the office to another room. You may also be able to prevent water from entering by wrapping a tarp around the broken window.
If you need to hire a professional later to make repairs to your property, keep all receipts. Remember that, in addition to any immediate repairs, you should consult with your insurance company or its adjuster to obtain approval for future projects.
Fill out homeowners claims paperwork on time
Your provider's insurance adjuster will ensure that you meet any deadlines for submitting paperwork after a loss that your policy specifies. You may be required to submit a loss account, an inventory of lost or damaged personal property, specifications for damaged structures, and receipts for additional living expenses if you are forced to leave your home.
Failure to meet your provider's requirements may result in your ineligibility for a payout. To get the most out of your homeowners insurance claim, read your policy thoroughly to understand your obligations. If you're not sure how to proceed, think about hiring a private insurance adjuster to assist you.