What To Do If Property Insurance Company Denies Your Claim

Insurance Companies at many instances deny the claims of their customers on simple grounds and they do not always want to foot the bill. Below mentioned are some of the tips that will come in handy when claimant is denied the claim:

  • It is legally obligatory on the part of the Insurance Company to explain to the client why the claim benefits are being denied. These details should be clearly mentioned in the policy.
  • The claimant should properly review the policy and make sure that all his rights are clearly spelled out in the policy. In case the claimant Policy is destroyed due to accident or fire the claimant can always ask the Insurance Company for another copy.
  • The claimant must make sure while reviewing the policy if his claim was denied with or without a cause. Simple mistakes may happen due to filing error on the part of the claimant which must be corrected.
  • Sometimes a claimant who is new to the office may deny a claim without fully understanding the policy.
  • Sometimes the Insurance carrier might mistakenly lower the coverage amount. This could be due to a filing error which can be easily corrected.
  • The claimant must keep himself abreast about the incidents like the extent of damage, the parties involved in the incident, steps taken to prevent the incident and any other circumstances related to the incident.
  • The client can request for an independent appraisal over the value of the property if there is a disagreement between the Insurance Company and the claimant.
  • The claimant should take pictures of the damaged property along with the documents and all the conversations with the Insurance Company which can later serve as evidence.
  • Records for the purchases of Home Fire Safety Alarms and Home Security Systems should be shown by the claimant.
  • All kinds of evidence should be given to prove that the claimant is a responsible home owner and there was no negligence on the claimant part.
  • An appeal can be filed directly against the Insurance Company if the claimant believes that the claim was denied without any valid reason. The Insurance Company is under legal obligation to provide all the necessary details on how to file the claim.
  • Sometimes in order to avoid paying the claim the Insurance Company may hold the claimant responsible for the damage. In such cases, the claimant must make sure to keep all the necessary documents and photographs of the property as evidence to prove that he is a responsible home owner.
  • Lastly, if all the above mentioned steps fail the only way out for the claimant is to take the Insurance Company to the court or to a private arbitrator. The claimant should seriously consider this step as a large sum of money is usually involved in a Property Insurance. The claimant must get a good and experienced lawyer to the case.