It’s all up to you. Many homeowners assume that they are obligated to use their insurance policy. However, the final decision to hire an insurance contractor is yours.
Do you have to use insurance contractors?
When you notify your insurance carrier of a damage claim, they will often send out a “preferred contractor,” assuring you that using someone from their network is the fastest way to restore your home to its original state. It’s also an attempt by your insurer to control costs and possibly prevent you from hiring your own contractor.
While there is nothing fundamentally improper with working with a contractor hired by an insurance company, you should be aware that you are not obligated to do so.
The Choice is Yours
Many homeowners believe they are forced to utilize the insurance contractor, however the decision to engage the insurance contractor is ultimately yours. That’s not to say you won’t hire the recommended contractor, but you should do your research the same way you would if you were hiring someone for work that wasn’t related to an insured loss: get referrals and references; talk to other people who have filed claims; check out the contractor with your local Better Business Bureau or other contractor-rating websites.
It may be tempting to choose the first insurance contractor who comes your way, but you’d be better off using them to figure out the scope and cost of your repairs. In any case, you should talk to a couple of independent contractors.
Understand the Process
Because the adjuster for the insurance company is not your general contractor, don’t expect her or him to do this function. You’ll need a thorough understanding of the adjustment process, what your insurance covers, and how to get started on the job and get reimbursed. A public adjuster is a good alternative to explore since he or she may act as your champion and help you achieve the maximum reimbursement your insurance policy allows.
The language used by contractors is a fast method to tell them apart. “We need to talk to the claims adjuster and gain approval on that,” an insurance agent would remark, whereas an independent contractor might answer, “I can deal with your insured on that.”
Can I do the work myself on an insurance claim?
Because the insurer determines how much it will pay to fix your home and when it will pay, it is primarily up to your insurance company whether you are authorized to undertake your own home insurance repairs.
In most cases, insurers will allow you undertake the job yourself, but the level of supervision they want will depend on the degree and intricacy of the damage as well as the insurer’s policies. If the work takes little skill, such as cleaning up debris, the insurance is more likely to grant you permission than if it is highly technical, such as plumbing.
Legality
Another issue to consider is whether or not it is legal for you to do the repairs. Depending on the severity of the damage and local legislation, you may be required to obtain a permission from your city or obtain a license in order to do the necessary repairs.
Should you share your insurance information with your contractor?
You have faith in the contractor’s honesty and ability to properly breakdown your insurance claim. The contractor has faith in you to share all pertinent information so that they can complete the task correctly the first time. When you share your insurance papers with your contractor, you’re establishing not only trust, but also a collaboration.
Can I ignore insurance adjuster?
Prevent formal and casual interactions if you want to avoid being duped by an insurance adjuster. If they persist, ignore them until you consult with a lawyer.
Are insurance adjusters honest?
NO is the common answer to this question. This is not to say that all insurance adjusters are untrustworthy. It’s crucial to keep in mind, though, that all insurance adjusters have a certain amount of allegiance to their company. Because of this devotion, the adjustor may attempt to offer you the lowest feasible settlement so that the corporation does not lose money on your claim.
Many individuals have never heard of an insurance adjuster. If you make the mistake of believing that an insurance company is looking out for your best interests, you will almost certainly receive a lower payout than you deserve.
What recourse do I have against an insurance company?
Where do you go if you have a complaint about your insurance company? Dianne Zeitler was curious about this after breaking her arm while vacationing in Vienna, Austria.
“My insurance company rejected my claim twice when I asked for reimbursement for emergency surgery,” recalls Zeitler, a former health care consultant from Washington, D.C.
She, like many other policyholders, had a variety of options for submitting a complaint. Should she file a claim with her insurance company? Should she file a complaint with her state’s insurance commissioner? Should she see an attorney?
“A policyholder has various options when an insurance company refuses to honor its contract or follow the law,” says Jeff Raizner, a partner at Raizner Slania, a Houston law practice that specializes in insurance litigation.
- File a complaint with the state insurance department, which oversees insurance activities and ensures that insurers follow state rules and regulations.
Zeitler first went with door number three. She filed a complaint with the appeals department of her insurance company, which is overseen by a third party because it is run by the government. She did, however, hedge her chances by opening door number two. She tracked down the names of the insurance company’s board of directors and executives and wrote them a nice letter.
“I included a claim timeline, names and departments to whom I spoke, and copies of the bills,” she explains.
Does a denied home insurance claim count against you?
When you file a house insurance claim, it affects your auto insurance in the same manner that it affects your auto insurance after an accident. Whether or not the damage was your fault, the claim informs your insurance provider that you are more likely to file another claim in the future. Although simply filing a claim can have a negative impact on your insurance, the magnitude of that impact is mostly determined by whether your claim is approved or refused.
This is desirable if your claim was granted because it informs the insurance company that your claim was deemed valid and reasonable by your agent and other individuals involved in the inspection and approval process. Furthermore, an authorized claim informs the insurance provider that the damage has been remedied, reducing the risk of further damage. For example, if you submitted a claim for a new roof after a storm because a tree branch fell in, you are unlikely to have any further issues with your roof.
A denied claim, on the other hand, can have the greatest influence on your homes insurance. When your claim is denied, it informs your insurance provider that it was invalid, which could indicate poor judgment, negligence, or even insurance fraud. This is a situation that you must avoid at all costs. A refused claim not only reflects poorly on your personality, but it also exposes that there may be unrepaired damage to the home, making it subject to future claims.
In the case of the roof, assume you filed a claim claiming that the roof was damaged by a hail storm, but your claim was refused. Although a denial may imply that the damage was not severe enough to warrant a new roof, it informs your insurance provider that those issues may still exist and would likely manifest themselves before a home with a new roof would. In essence, these claims work against you since they show your insurance company how much of a danger you are.
What happens if insurance company doesn’t respond?
You (and your attorney, if you have one) may submit a demand letter to the insurance company representing the person or business you’re trying to hold accountable for your injuries as part of your initial efforts to resolve any form of personal injury claim.
This demand letter will include a description of the accident that caused your injuries, a summary of your medical treatment to date, a list of other losses and damages resulting from the accident and your injuries, and, finally, a demand for a dollar amount that you’d be willing to accept to settle the case. Learn how to write an effective personal injury demand letter from the ground up. So, what’s going to happen next?
You Should Get a Timely Response
In most cases, you’ll receive a prompt response to your demand letter, usually from the insurance adjuster handling your claim. After all, most insurance companies want to settle an accident claim as soon as feasible and as cheaply as possible. That’s not to mean you’ll get a check for the amount you’ve requested, but you can expect a counter-offer or some other evidence that the insurer is ready and eager to negotiate a settlement of your personal injury claim.
Insurance Companies Are Not Required To Respond
Having said that, there is no legislation requiring the insurance company of the opposing party to react to your injury demand letter. Insurance companies are free to take their time responding to your letter, or to completely disregard it (and you). However, this isn’t always a sound business practice, and it doesn’t happen very often.
One thing you can do is contact the insurance company to confirm receipt of your letter. It’s possible that you provided inaccurate contact or identification information (the policy number, the name of the insured, the date of the accident, etc.) Please don’t write another letter. Begin by phoning the insurance company and requesting to talk with a claims representative or the claims division. Check the insurance company’s website to see whether there’s a simple method to contact a representative by email or “chat.”
If You Can’t Get a Response, File a Lawsuit
Finally, if you haven’t received a response to your demand letter or other attempts to resolve your damage claim, you should check your state’s statute of limitations. A timeframe for filing a personal injury case in court is established by this statute. You want to keep this option open, so if the filing date is approaching, submit your lawsuit as soon as possible to protect your legal rights to have the case heard in court.
When you file a lawsuit, you serve the insurance company with documentation that legally obligates them to respond and begin the process of settling your case. Even if the court isn’t engaged any more, filing a personal injury lawsuit may be necessary to persuade the insurance company to take your case seriously and provide you with a reasonable settlement.
What should you not say to an insurance adjuster?
Never apologize or admit any form of wrongdoing. Remember that a claims adjuster is searching for ways to decrease an insurance company’s liability, and any acknowledgment of fault might jeopardize a claim.
Do not declare you are OK or better than you were. This is especially crucial to remember when responding to the customary first question, “How are you?” Make no reference to your current state of health.
Do not make assumptions about any injuries you believe you may have experienced. Your comment could cause complications if your true diagnosis is more serious than your self-diagnosis.
Any offer to make a recorded statement should likewise be declined. During their initial calls, insurance adjusters will frequently try to get victims to give recorded testimonies, claiming that the recording is for the victim’s own safety. Don’t be duped. Conversations that are taped can be used against you in court.