Home Insurance is Denied What is the Next Step?

Learn the reason your claim was rejected

Your insurance company will send you a formal letter stating the reason they deny your claim. If your insurance company doesn’t provide you with a formal letter the claim hasn’t been denied. This letter will explain the specific terms in your policy which justifies the denial of claim. Take the time to read the letter attentively, and then compare the explanation with the policy you are familiar with. If there’s a valid justification for denial of the claim i.e. that the insurance premium was not paid, or the kind of damage (peril) is specifically excluded from your insurance and there’s nothing more you could do.

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However, if , after the comparison of their explanation to your own understanding, you continue to believe that your property damage ought to be compensated, talk about your views with your insurer’s claims adjuster as well as your agent If they have one. The process of convincing a company adjuster to overturn a denial to a claim isn’t easy. Don’t give up if are able to prove that coverage was guaranteed in your homeowner’s insurance policy.

Make an appeal

If you’re not getting satisfaction when you explain your concerns to the claims adjuster, then you’ll have to file an appeal. There is a short time frame to file an appeal and the clock will begin at the moment the claim is denied. The appeals procedure you need to follow is laid out in the homeowner’s insurance policy.

The filing of a formal appeal triggers an examination of your appeal that was denied. Make sure to include with your appeal all the evidence and documents that you can in support of the argument that your damages must be compensated. The more well-organized you present the information you have, the better chances you have of receiving more than a superficial examination of the claim you were denied.

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Get a home insurance claim expert

A consultation with an insurance adjuster licensed by the public is the best decision homeowners can take following a property loss, regardless of whether the claim was already rejected.

A public adjuster will verify your insurance coverage, provide documentation the loss and estimate it, and negotiate the highest settlement that is allowed by those terms in your homeowner insurance policy. The earlier you call an adjuster from the public the better he or will be able to assist you get back to your financial goals.

If you’ve come to the point at which you’re required to file a lawsuit against your insurance company seek out a lawyer who specializes in the field of property insurance claims. Make sure you get references that demonstrate a positive track record of settling insurance claims for property as well as a thorough understanding of the law governing property.

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Make an official complaint

The industry of insurance is extremely restricted, yet the courts of every state are filled with property-related litigation and lawsuits for bad faith.

If you are a policyholder in good standing — which means your premiums are being paid — your insurer is required to treat your property claim with fairness and on its own merits. If the way you are treated by your claim isn’t up to this standard and you’re not satisfied, you’re able to lodge an official complaint with your local insurance regulator.

How to successfully navigate your homeowners insurance Claim

Recovering from a catastrophe for your home isn’t an simple job. Download How to Successfully Manage Your Homeowners Insurance Claim an aid to get through the chaos.

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