How Does Your Insurance Coverage Work?
Not all property damage events will require or involve an insurance claim. For those that do, 123HELP APP LLC., is sharing helpful information about standard procedures and terms that apply to many property insurance claims. (Note 123HELP APP LLC., is not a legal advisor. We suggest that you read your insurance policy).
- If your property has substantial damage that is above your insurance deductible it is practical to make a claim with your insurance provider. An insurance policy is a legal contract. The policy will declare your deductible and the terms of what is and is not covered. Policies also have maximum limits for the coverage they provide.
- An An insurance agent is not usually involved in the details or management of damage claims. However, they have an investment in your satisfaction concerning how your claim is handled and resolved.
- An in-office, or field insurance adjuster is the appointed representative of your insurance company who will manage your claim. Insurance adjusters make their decisions concerning your loss based upon their interpretation of your specific policy. Adjusters negotiate with repair contractors to mitigate and restore your loss.
- Your adjuster will work with you to place realistic values on the repair of your structure and the repair or replacement of your damaged contents according to the terms of your insurance policy.
- You have the right to hire a state licensed public adjuster to settle your claim. Public adjusters are independent of insurance companies and are like an attorney that negotiates on your behalf. They earn a percentage of the total settlement you receive from the insurance company.
- Insurance companies often provide “approved contractors” to perform the repair work. These contractors must meet and maintain quality standards to be on insurance company repair programs. However, you are not obligated to use these contractors.
- You’re allowed to hire a licensed, insured, and bonded contractor of your choice.
- The repair estimates, invoicing, and payments are negotiated between the repair contractors and the insurance company. The insurance and restoration industries have established a standard pricing schedule that is the basis for the cost of most repair work. You have paid insurance premiums, and once a loss happens, it is up to your insurance company to provide and pay for the restoration services outlined in your policy.
After a property disaster, you will want to get your home or property back to normal as soon as possible. If you have made an insurance claim, your insurance company wants to resolve the claim quickly too.
Unless you have experienced a previous property loss and have filed an insurance claim before you’ll probably have a lot of questions. As the repair work begins and progresses you may get multiple checks from your insurer for the temporary repairs, permanent repairs, and for the replacement of your damaged belongings.
- How do you get paid?
- How are service contractors paid?
- Who gets the check(s)?
The questions could go on because the insurance claim process is complicated on so many levels. Insurance companies are aware of this and have created a helpful consumer resource, The Insurance Information Institute. The organization provides consumers with the answers to their many insurance questions. For a better understanding of the insurance claim process, 123Help suggests that you visit the III.org website:
The Insurance Information Institute
123HELP APP LLC. encourages all property owners to review their insurance policies at least once yearly to determine if coverage is sufficient for the changing property values and climate conditions in your locale.