8 Things to Know About Property Damage Claims

1. You Have to Prove Everything – Initial Steps in Filing a Claim
   1. Secure the Scene
   2. Document the Damage
   3. Notify Your Insurance Provider Promptly
2. Working with Insurance Adjusters
3. Understand Your Policy’s Coverage and Exclusions
4. What NOT to Do When Dealing With Homeowners Insurance
5. Document Urgent Repair and Settlement Process
6. Keep a Log of All Communications
7. Stand Firm on Your Rights
8. Know Fair Claims Practices

Serious damage to your home or business can stop life in its tracks. It can leave you displaced and without income for the foreseeable future, all while the insurance company balks and looks for as many ways to avoid paying out as possible. So what should you know about property damage claims?

1: You Have to Prove Everything – Initial Steps in Filing a Claim

 After assessing the damage, reporting the claim to your insurance agency should be your priority. Failing to inform your insurer promptly can reduce your chances of full recovery. Many states require policyholders to report claims within specific timeframes; delaying this step could impact compensation. Review your policy, which likely mandates “timely notice” of a claim. Track all damaged property, including structures and personal items, with detailed descriptions. If you’ve recently upgraded your home, make sure those changes are documented in your policy for accurate valuation.

Taking quick, specific actions immediately after the incident strengthens your claim:

1. Secure the Scene

Block off damaged areas to prevent further harm. Restrict access to any hazardous spaces, address immediate dangers, and keep the scene undisturbed if possible. This helps protect both people and your claim by preserving the damage’s original condition.

2. Document the Damage

Capture thorough photos and videos from various angles. Keep a detailed list of all damaged items, noting each item’s condition, age, and approximate value. This detailed record provides crucial evidence for a smoother claim process.

3. Notify Your Insurance Provider Promptly

Call your insurance provider to report the incident promptly. Stick to factual details, and avoid giving opinions or admitting any fault. During the call, confirm when the adjuster will visit to assess the damage.

By following these steps, you lay a solid foundation for your claim, maximizing your chance of receiving full compensation.

2: Working with Insurance Adjusters

When engaging with the insurance adjuster, remember that all claims are ultimately business negotiations. The adjuster assigned to your case prioritizes the insurer’s financial interests. Exercise caution when discussing details of the damage; avoid statements that could imply negligence or partial responsibility. Insurers have extensive resources, including adjusters and legal teams trained to interpret policies favorably for the company.

If you live in an area hit by a major hurricane, tornado, mass flooding, fire, or other disasters, you may start receiving solicitations from public insurance adjusters. These are usually independent from insurance companies, which is a plus as they are going to have similar interests as you.

Many states require public adjusters to be licensed and may impose limits on their fees. Make sure to check their credentials, and keep in mind that public adjusters often work on a fee basis, taking a percentage of the final settlement. They may also have relationships with certain contractors or estimators, which can lead to bias in who gets recommended and how much they value the cost of repairs.

In a scenario where you’re the only unfortunate individual dealing with damage, such as a fallen tree or a household fire, you’ll likely deal with a staff adjuster unless you specifically seek out an independent adjuster.

The insurance adjusters who work for an insurance company are going to have the same interests as the insurance company. Though they won’t charge you for their services, you may have to dispute their estimated coverage to seek the maximum amount possible for your damages. Seeking assistance from a skilled legal team can help you with this process.

3: Understand Your Policy’s Coverage and Exclusions

The language in your insurance policy will provide details on what kind of damage is and is not covered. Try to get familiar with your policy, or have your legal representation explain it to you.

Commonly, the following types of damages are covered:

• Fallen tree damage
• Storm damage
• Water damage
• Fire and smoke damage
• Hurricane damage
• Tornado damage
• Wind damage
• Hail Damage
• Mold damage
• Theft
• Vandalism
• Damage to a property due to an auto accident

Although many policies cover fallen trees, storm damage, water damage, fire and smoke, hurricanes, tornadoes, wind, hail, mold, theft, and vandalism, there are exclusions to be aware of:

• Tree Damage: If a tree falls but doesn’t cause any structural damage, your policy might not cover its removal unless the tree posed a documented hazard before it fell.
• Water Damage: Damage from rain or pipes is often covered, while sewer backups and flood damage may require separate policies or additional endorsements.
• Neglect-Related Damage: Most policies exclude damages from gradual deterioration or neglect, such as aging roofs or foundation issues. For this reason, keeping up with home maintenance and conducting periodic checks can help avoid coverage gaps.

In high-risk areas prone to flooding or earthquakes, basic policies typically exclude coverage for these events. Supplemental insurance, such as flood or earthquake insurance, may be necessary for full protection.

4: What NOT to Do When Dealing With Homeowners Insurance

There are some critical don’ts when navigating property damage claims:

1. Don’t neglect to record and keep track of your possessions, your home’s value, and your losses. Having an inventory of valuable possessions is a great way to prepare for the worst-case scenario.
2. Don’t start repairing anything that was damaged until you’ve contacted your insurer and verified it’s okay to do so. You will need to come to an agreement on necessary repairs and costs before you can hope to recover financial losses from such work.
3. Don’t neglect to get all agreements with your insurance company in writing. Failing to do so can cause issues down the line. Having everything in writing is also a good way to keep everyone on the same page.
4. Don’t throw anything away. Damaged possessions may sit unused, but having these items to prove their damage and value can help with the claims process. Make sure to keep all receipts related to home purchases, improvements, or repairs as well.
5. Don’t accept the first offer unless you are 100% confident it covers all of your losses. Often, an insurance company’s first offer will be an attempt at getting you to settle for less than your damages are worth. Holding out for a better deal can get you closer to the maximum amount possible for your losses. Something that some insurance companies wish you didn’t know about property damage claims.

5: Document Urgent Repair and Settlement Process

After property damage, start with essential emergency repairs to prevent further harm, like covering broken windows or sealing exposed areas. Document these temporary fixes thoroughly, as insurers generally reimburse reasonable emergency costs.

Next, obtain repair estimates from multiple reputable contractors to ensure fair pricing. Although insurers may suggest contractors, the choice remains yours. Prior to scheduling repairs, confirm with your insurer that estimated costs align with your policy’s coverage to avoid unexpected expenses.

As repairs conclude, your insurer will release final payments, often in stages. Review all payout details carefully to ensure the amounts align with your claim and agreed terms. Taking a structured approach to repairs and settlement can help you secure fair compensation and restore your property effectively.

6: Keep a Log of All Communications

Record every interaction with your insurer, noting dates, names, and conversation details. This log provides a clear trail of your efforts, helping resolve any disputes about prior agreements or decisions.

7: Stand Firm on Your Rights

If pressured to accept a low estimate or payout, remember you have the right to challenge it. Request an explanation of how the insurer calculated the amount, and seek clarification on any points that seem unfair.

8: Know Fair Claims Practices

 Many states have enacted fair claims practices laws that require insurers to act in good faith and handle claims promptly. Familiarizing yourself with these laws can help you recognize any bad-faith practices, like unnecessary delays or unfairly low settlement offers.

Seeking the help of a trustworthy legal team with ample experience dealing with property damage can help. Knowing when to hire a property damage lawyer, is just as important as knowing that you need one in the first place.

Steinger, Greene &Feiner can help you get your life back on track after a disaster strikes your home or business. Whether you’re dealing with a fallen tree, fire damage, damage from a major hurricane, theft, or vandalism, we can help you push back against the insurance company when their stubborn tactics come into play.

Give us a call at (800) 560-5059 or contact us online, and we can go over the details of your case at your soonest convenience during a free, no-risk case review. When it comes to personal injury, car accidents and property damage, we can ensure you get the money you deserve.