When disaster strikes, it can leave you devastated, both emotionally and financially. In order to make a full recovery, you will want to receive the maximum amount possible from your insurance payout. This is not about trying to take advantage of your insurance company, but getting what you need to make sure your family is able to replace all that was lost and move forward.
Never Accept the First Offer
There is one rule everyone needs to know when it comes to making an insurance claim. Never accept the first offer made by the insurance company. Always remember, insurance companies make their money by collecting premiums, not from paying out claims. They will almost always make an initial offer well below what you are actually entitled to. This is done by them in an attempt to save money. Always refuse this initial offer, and instead begin the negotiating process so that you can receive the amount you are actually entitled to.
Consult with Your Public Insurance Adjuster Before Signing
Either before or after rejecting the first offer, you will want to obtain the services of a public insurance adjuster. This is a licensed professional, specializing in navigating the insurance claims process. Where most insurance adjusters work for the insurance company, a public adjuster works for you. They will take on the role of negotiator for you, handling all correspondence with the insurance company. A public insurance adjuster knows all the ins and outs of an insurance claim, and will be able to ensure that you receive the maximum payout possible.
Review Your Insurance and Claim
Once you have hired a public insurance adjuster, you will want to review your insurance policy with them. You will want to read it over very carefully, seeing exactly what your policy covers. You may find some things are covered that you wouldn’t have thought, or vice versa. Next, review your claim with your public insurance adjuster, making sure that you are claiming everything that is covered by your insurance policy.
Seek Expert Guidance
Now you are going to want to seek out expert guidance. For example, let’s say your garage was damaged in a hurricane. As a layman, you have no idea how damaged your garage actually is. You should find a contractor to come inspect it. You may find out that only a few boards need to be replaced, or they may tell you that the garage is now structurally unsound and will need to be completely rebuilt. By seeking expert guidance you will be able to learn exactly what you need to include in your insurance claim.
Determine the Actual Cash Value of Your Claim
Along with an expert’s opinion, you can also get an estimate for how much repairs will cost. Additionally, make a list of any items that were destroyed in the disaster, including the exact cost of each. You can then add all of these up to determine the actual cash value of your claim. This is the number you will be submitting to your insurance company as the amount you want. Your public insurance adjuster will help you with this step, ensuring that nothing is left out.
Review Your Deductible
Your deductible is the amount you are responsible for paying before your insurance company will pay anything. Deductibles can vary wildly depending on your policy, ranging from the hundreds to the thousands. If your deductible is more than the actual cash value of your claim, then you will receive nothing from your insurance company, and it is often not worth making a claim in this case.
Know Your Out-of-Pocket Costs
It is important to know all of your out-of-pocket costs. This will often include anything you had to pay due to the disaster. For example, if you had to rent a hotel room due to your house being unlivable due to damage from a hurricane. Make sure you include all out-of-pocket costs in your claim, or that money will just be gone forever.
Gather All Necessary Evidence for Your Claim
The final step is gathering all necessary evidence for your claim. Your insurance company will require proof of damages before they will payout a claim. Your public insurance adjuster will be able to tell you exactly what this evidence entails. Usually, it will be receipts, estimates, and pictures of damage. Having evidence to back up your claim will ensure that you get the maximum payout possible.
