Have you ever wondered why you pay for Homeowners Insurance month after month? You’ve never made a claim, and now that you made a claim, your claim was denied the first time you needed it.
Property damage is a billion-dollar business. When you look at the statistics provided by Insurance Information Institute
- About one in 20 insured homes has a claim each year.
- About one in 35 insured homes has a property damage claim related to wind or hail each year.
- About one in 60 insured homes has a property damage claim caused by water damage or freezing each year.
- About one in 385 insured homes has a property damage claim related to fire and lightning. **
The insurance company will wrongfully deny 10% of these claims. Many homeowners believe that once rejected, they have no other recourse to get help with the damage to their home.
First, let’s list some reasons why a claim might get denied:
Not keeping up to date with your policy: life happens, causing you to fall behind on policy premiums and have lapses in coverage. Property owners are often unaware of issues until the time comes to file a claim. Review all policy documents regularly and ensure your payment information is up-to-date.
Damages suffered fall under policy exclusions: All insurance policies have exclusions that limit the insurer’s liability. In property damage coverage, exclusions are found for flooding, sinkholes, and mold. Carefully review your coverage to understand what the exclusions are for your home.
Failure to properly maintain your property. A common exclusion. If the property was previously damaged or not properly maintained over the years, the insurer could use this as a reason to deny your claim. It is essential to report any damage and make routine repairs as needed.
Waiting too long to report the damage. In some states, property owners are required to notify insurers about property damages as soon as possible. If they fail to do so, the insurer could use this as justification for denying your claim. It is critical in the aftermath of a fire, heavy rains, or other conditions to protect your rights to compensation by thoroughly inspecting your property.
Not correctly documenting damages. As a property owner, carefully document conditions surrounding your home or business and take a routine inventory of your belongings, including taking pictures. Likewise, if property damage happens, use photos, videos, and written descriptions to thoroughly document all instances of damage.
Understanding what is in your homeowner insurance policy and what is covered is essential. So, what is the recourse for a homeowner that has had their property damage claim denied? You don’t have to throw your hands up and accept no as an answer. Working with a professional trained in dealing with insurance claims like yours is critical. National Claims Negotiators is a professional public adjusting firm licensed by the state to advocate on behalf of property owners to get the funds needed to restore the property in accordance with an insured insurance policy. Such an agency can assist a homeowner with getting what they paid for and financial assistance with home repairs due to damage.
The weather is getting tricky, and all over the country, floods are happening more and more often in places where flooding was never an issue. Heat waves are causing more natural forest and brush fires, and homeowners are ill-prepared for these events. Now is the time to review your homeowner’s policy and ensure that you understand your coverage and financial impact when filing a claim. National Claims Negotiators offers free policy reviews.
National Claims Negotiators is a public adjusting firm that works exclusively for residential and commercial property owners. Established in 2012, the company assists more than 550 property owners annually with their denied and underpaid insurance claims. Is your insurance company telling you they can’t pay for certain repairs? Do you have the time to read, study your policy, meet with the carrier’s adjusters, research what should and should not be paid for, and negotiate your claim? National Claims Negotiators are licensed by the state to negotiate with your insurance company on your behalf. Click here for a free claim review.
