Have you ever had your home insurance claim rejected? If so, then you know just how frustrating it can be to deal with such an issue. Unfortunately, many people who have their insurance claims denied experience the same problems: being treated as if they’re trying to defraud the insurance company, struggling to get a clear explanation of why their claim was rejected, and more. Fortunately, there are steps you can take to fight back and make sure that your claim isn’t denied in the first place, or at least make it easier if it does get rejected. Here are some of those steps.
Write down your policy number
If you’re home insurance claim is rejected, the first thing you should do is call your agent. Have your policy number handy so they can look up your coverage. If you’re not satisfied with the explanation, you can ask to speak to a supervisor. It’s also a good idea to take some time to review your policy so you understand what is and isn’t covered. If you still feel like you were unfairly denied, there are a few options. You can file an appeal with your insurance company or contact your state’s department of insurance. If you decide to go this route, be sure to have all of your documentation in order and be prepared to present your case. For example, if your home was damaged by floodwaters from a nearby river (something that would be excluded under most policies), it would be important to show evidence that the river was overflowing at the time of loss.
Find out what went wrong
If your home insurance claim is rejected, it can be a frustrating and confusing experience. But don’t despair! There are a few things you can do to try and figure out what went wrong, and to improve your chances of having your claim accepted in the future. First, make sure that you have all the information that was requested by your insurer when filing your claim. Make sure that they received an accurate inventory of everything you lost or damaged in the fire. Second, check with your agent to see if they need anything else from you before they will approve your claim. Third, read over any paperwork that has been sent to you by the insurer after submitting your claim to make sure there aren’t any questions or concerns on their end that need clarification. Fourth, speak with an agent at the company where you purchased coverage from if possible and ask them for help figuring out why they denied coverage for this event. The first thing they may want to know is if you made a claim in the past. In some cases, insurance companies may decline your claim because you’ve filed one within the last year (in which case you’ll need to get more specific about why this event should be covered). The second thing they might want to know is whether or not you had homeowners’ insurance limits set high enough. For example, if your belongings were worth $100,000 but only $10,000 was insured then there’s no way that anyone would pay off the full value of what was lost even though those items could easily cost upwards of $100,000 retail.
Understand the terms and conditions
If you’re not sure why your home insurance claim was rejected, seek help from your agent or broker. They should be able to explain the reasons behind the decision and help you figure out what to do next. In some cases, they may be able to negotiate with the insurance company on your behalf. If you’re still not satisfied, you can file a complaint with your state’s insurance department. It might also be worth consulting an attorney to see if there are grounds for litigation against the insurer. It’s important to understand that insurers have their own language, which can sometimes make it difficult to determine whether you’ve been denied coverage unfairly. For example, inadequate cause is often cited as the reason for denying a claim when the policyholder doesn’t have enough information about how the damage occurred.
You might feel overwhelmed by this process at first, but after understanding all of your options, it’ll become easier to come up with a plan of action that works best for you.
Seek help from your agent or broker
They will be able to explain the rejection and help you determine what steps to take next. In some cases, they may be able to help you resubmit your claim with the correct information. If your claim is denied again, they can help you appeal the decision. Ultimately, it’s important to have an advocate on your side who understands the claims process and can help you get the coverage you deserve. Insurance experts know that every homeowner has a story about their home, says Robin Leonard, vice president of national accounts for Chubb Personal Lines of Business. We understand how homes are both filled with memories as well as potential risks.
Leonard also advises homeowners to work closely with their agent or broker if they find themselves in a situation where their claim has been rejected – especially if it’s unclear why the denial occurred. The agent or broker will have expertise about the industry that can often shed light on this type of situation and give homeowners some ideas about how to proceed.
Homeowners should also feel empowered to ask questions when their insurance company denies a claim; this ensures that there are no gaps in understanding the reasons behind the decision.
Write to the ombudsman in case you don’t hear back
If you think your home insurance claim has been unfairly rejected, you can take your complaint to the Financial Ombudsman Service. The ombudsman is a free and independent service that settles disputes between consumers and financial companies. As a general rule, it takes on cases where there has been some sort of issue with either the product or service itself or in relation to how it was sold. The FOS will also take on cases if there’s been an unfair decision about one of these areas made by an organization within its jurisdiction – so this could include things like a bank refusing your mortgage application or a utility company refusing to connect you to their services. You don’t need to have any previous contact with the company before submitting your complaint – but you do need evidence of what happened and why you feel aggrieved by it.