How the Home Insurance Claim Process Works Property owners can’t control the weather, accidents, or other loss events, but they can understand what happens next. Understanding the homeowner’s insurance claims process is one way to reduce stress and anticipate when a claim might settle and how to move forward. While the process isn’t identical in […]
Property owners can’t control the weather, accidents, or other loss events, but they can understand what happens next. Understanding the homeowner’s insurance claims process is one way to reduce stress and anticipate when a claim might settle and how to move forward. While the process isn’t identical in every situation, most home insurance claims follow a general script – here’s what it looks like.
The claims process starts as soon as a loss event occurs. The immediate aftermath of a fire, flood, storm, or other disaster represents the beginning of a process that involves many parties and lines of communication. Here’s what to expect from the independent insurance adjuster, insurance agency, and other organizations involved in the home insurance process.
Before worrying about insurance, think safety first. Do not enter the home until authorized to do so by emergency personnel or local government officials. Even if the damage is concentrated in a single room or area of the home, get approval before reoccupying the property.
Organize information. Once everyone is safe, gather pertinent information for the insurance adjuster. When filing a homeowners insurance claim, include basic details such as:
Mitigate further damage. If it’s safe to do so, prevent additional sun, water, or structural damage using tarps and plywood to cover holes or exposed areas of the home. Save any receipts associated with damage prevention for future reimbursement.
Contact the insurance company once everyone is safe and the property is secure. Most insurance agencies offer 24/7 claims, and many will get a local insurance agent on-site within hours of a loss event.
Inspect and document damage using a cellphone or camera to create a list of lost or damaged items to include in the claim. Homeowners and insurance adjustors can use these images to list damaged items for future restoration or replacement.
Once the property owner and insurance agent document the damage, find a safe place to stay.
Loss of use, or being forced out of a home due to damage, often means finding temporary housing. Some homeowners insurance policies offer reimbursements for hotels, car rentals, and other living expenses incurred after a loss event.
Each homeowner’s insurance claim timeline varies based on several factors, including:
As one might expect, the claims process can be frustrating for property owners. From slow response time to inadequate coverage, many insurance agencies rely on in-person damage assessments, manual data entry, and other legacy insurance practices that take time. It’s no surprise that most policyholder complaints were about the claims process.
Related: Top 10 Homeowners Insurance Claim Tips
The time frame to file a home insurance claim varies by state. Some require a submitted claim within 30 days of the loss event, while other states allow up to three years.
It’s important to file a claim as soon as possible, although there are extreme situations where it’s not possible to do so. Natural disasters and large-scale weather events make filing a homeowners insurance claim difficult and getting an agent on-site nearly impossible due to on-the-ground conditions and demand.
In most cases, claim reimbursements are distributed by electronic fund transfer. This puts reimbursement and claim payouts into the property owner’s bank account to pay for repairs and cover expenses incurred after the loss event. Larger payouts might be delivered in a series of disbursements on a weekly, monthly, or quarterly basis. These funds can be used to rebuild, cover specialty restoration services, or replace items that cannot be saved.
Every loss event is serious, and property owners rely on experienced, reputable insurance adjustors to recover from the damage. Prism Specialties is the specialty restoration partner trusted by property owners, insurance professionals, and contractors to restore life’s treasures to their pre-loss condition. From art to electronics, we assess and restore items that add value to our lives.
Experience the thrill of restoration; find a location nearby or call (888) 826-9429 today.
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