When you have an insurance claim, you should always think of it as a negotiation. Your insurance company will want to pay as little as possible, while you want to get as much money back as possible. Sometimes, the insurance company will even blatantly deny your claim without any explanation whatsoever. For that reason, it’s important to know what mistakes to avoid when filing an insurance claim in order to maximize your chances of getting your money back quickly and easily. Here are the five biggest mistakes homeowners make when filing an insurance claim.
Not Insuring Properly
Many homeowners make the mistake of not insuring their home for its full replacement value. That’s a huge mistake. If your home is destroyed, you want to be able to rebuild it – not just replace the structure. The land your home sits on is not going anywhere, so don’t forget to factor that in when you’re calculating your coverage. You also need to take into account possible increases in building materials and labor costs over time, as well as the cost of living (i.e., inflation). All of these factors will affect how much your home is worth today, versus how much it would have been worth if you had purchased insurance for its true replacement value five years ago.
Skipping the Small Things
1.One of the most common mistakes homeowners make is not taking care of the small things.
2.For example, if you have a hole in your roof, you should fix it as soon as possible.
3.If you don’t, your insurance company may deny your claim or only pay for part of the damage.
4.Another small thing to keep in mind is to document everything.
5.Take pictures and videos of any damage, and keep receipts for any repairs you make.
6.This will help your insurance company process your claim more quickly and efficiently.
7.And finally, don’t forget to do what’s right:
8.Make sure that you are always paying on time and following all terms set by your mortgage company. 9.Otherwise, they might refuse to insure you when you file a claim on your home down the line.
10a.All these factors can make all the difference when it comes time for filing an insurance claim!
Waiting Too Long to File
Many homeowners wait too long to file a claim, thinking they can fix the damage themselves or that their insurance company will deny the claim if it’s filed too soon. But by waiting, you could be costing yourself time and money. If you have damage from a storm, for example, don’t wait to see if the sun will come out and dry things up. The sooner you file a claim, the sooner an adjuster can come out to assess the damage and start the claims process. Waiting also means you’re missing out on any discounts your insurance provider may offer for prompt filing of a claim. So get in touch with your agent as soon as possible after any incident occurs, no matter how small. (1) Also, be sure to document everything – take pictures and keep receipts – so you’ll have proof when it comes time to make a claim. (2) Remember: it is always better to ask forgiveness than permission!
It’s important to be as detailed as possible when filing an insurance claim. The more information you can provide, the better. Your insurance company will use this information to determine whether or not your claim is valid and how much they’ll be able to pay out. Be sure to include dates, times, locations, and any other relevant details. Keep in mind that your insurance company may also contact you for more information about the incident, so be prepared! Don’t Respond Immediately: After contacting your insurance company, it’s important to wait until they give you instructions on what to do next before sending them a response. Doing otherwise could result in unnecessary delays with your claim being processed. Not Giving a Statement: If an adjuster contacts you after the first day of making a claim, make sure to respond promptly! If you don’t give them a statement immediately following their request, it could delay the process even further by adding time-sensitive deadlines that need to be met in order for coverage to go into effect.
Going Into Defensive Mode.
After a disaster strikes, the first thing most homeowners want to do is protect them from any potential legal fallout. So they call their insurance company and then their lawyer, and suddenly they’re in defensive mode. They’re worried about what the insurance adjuster will say, what their neighbors will think, and whether or not they’re going to have to go to court. The problem is, this mindset can actually end up costing you money in the long run. Here are five mistakes you need to avoid if you want to make sure you get the most out of your home insurance claim. 1) You’ve already contacted your lawyer before contacting your insurance company: It’s understandable that you might be eager to contact someone after an event like a fire or burglary. But before doing anything else, it’s imperative that you contact your insurer as soon as possible to file a claim so that they can start investigating right away. Contacting your attorney too early could result in some serious delays – especially when it comes time for them to take on the case if you go into litigation. Once the insurer has started looking into things, they’ll be able to identify what caused the damage, who was responsible for causing it, and how much coverage applies; information which is crucial for determining how much money needs to be paid out.