How to Claim Property Insurance
Things to look out for and keep in mind when making a claim on your property insurance.
First Thing First
It’s important to decide whether it’s worth filing a claim or paying for the repair yourself. Apart from simple questions like is the harm protected by insurance and if the compensation amount exceeds your coverage, you’ll need to calculate and determine if filing a claim is really worth it. It might not be worth it to file a complaint if the expense is less than the deductible.
You’re putting your annual insurance policy to work for you when you file a claim and should expect to be completely reimbursed for the losses.
Key points:
- Call the insurance agent and make sure you have as much information about the damage as possible before filing a claim.
- Make sure that your claims are valid, reasonable and covered by your home insurance policy.
- Be thorough about the terms and conditions in your policy.
What’s the Procedure for Making a Home Insurance Claim?
Report to the Local Police
A police report may be needed for some types of home insurance claims, particularly if theft or vandalism has occurred. To help your claim, file a police report and send it to your insurance provider.
Contact Your Insurance Company
Contact the insurer as soon as possible after the incident occurs to file a claim. You will be assigned a claim number and a representative from the claims department. This person will be in charge of evaluating the extent of the damage and calculating the costs. Their task is to assist the insurance provider in determining how much money you will get for replacement or repairs.
Document Everything
Photograph and/or videotape the aftermath of any harm or theft that you can provide will assist you in your claim. You’ll need this paperwork if your insurer gives you a smaller payout than you expected and you need to appeal. If you or your property has been harmed, make a note of all that occurred, including the date, time, and descriptions of the incident. You will expedite the appeals process by sending this detail to your insurance company.
Cooperate with the Insurer During the Claim Investigation
You may be asked to authorize an inspection, produce documentation, include a written statement, or submit evidence.
Make Repairs In the Meantime
If you have a leaking roof or water damage, consider making temporary repairs, as it is your responsibility to keep the damage from getting worse. Keep all maintenance receipts (and make additional copies) and send them to the insurance company for reimbursement. If you have to leave your home temporarily because it is uninhabitable, keep track of both your accommodation and food expenses. You may refer them to the insurance firm for reimbursement.
What Are the Required Documents?
- Property Insurance Claim Form (You can download it from your insurance company website).
- Photos of all the evidence.
- Photo of the property with the house number.
- Copy of property owner ID card/passport.
- Quotation/invoice/receipt (repairing cost).
- Copy of the blotter (In case of arson, robbery, etc.).
- Copy of Home and Property insurance policy.
- Other documents if required from the insurance company.
Before filing a claim with your insurer, you should always record the incident that happened in your home for evidence.
How is a Home Insurance Claim Processed?
You may be issued a check or a bank transfer as payment on the spot when filing a claim. Alternatively, you can receive multiple checks or bank transfer payments from your insurer at various times as you move through the recovery process, repair damaged possessions, and display additional living expenses. If you accept a lump-sum settlement and later discover additional harm, you can reopen your claim and file for more money.
It’s important to learn how to file a home insurance claim and weigh the benefits, dangers, and costs of doing so before contacting your insurer. In certain cases, financial losses are too great to stop filing, but for smaller losses, paying out of pocket will help you preserve a good claim history and avoid a premium increase. If you have a mortgage on your home, the claims check will be made out to both you and your mortgage lender.
You’ll have a better chance of having your claim processed if you start planning ahead.
How Long Does It Take For an Insurer to Settle a Claim?
When the insurance company collects the documents, they will review them and contact you for more information, this could take up to 5 business days. The insurance provider will consider your case and give an answer within 15 working days if all of your documents are correct. After approval, the insurance company can take up to 7 days to pay for the claim.
What Alternatives Do You Have If Your Claim gets Denied?
Experts suggest that you first try the internal claims appeal process provided by your insurance provider. If you and your insurance provider can’t come to an agreement, you can file a complaint with your state’s insurance department, file a petition in Small Claims Court, or file a lawsuit against them.
Ask for an internal appeal, you have the right to file an internal appeal if your application is rejected. You have the right to request that the insurance provider perform a thorough and impartial review of its decision. Your insurance provider would expedite the process if the situation is urgent.