This article is excerpted from the book, "Insurance Claim Secrets REVEALED!"
Want to know why camera work is so important when you have a claim?
A. A photo is worth a thousand words. (I think I've heard that before)
B. Photos trigger memories, and remind you of building and contents items that were destroyed or damaged.
C. Time is of the essence. If you’re adjuster can’t get to your property for a couple days (or weeks in hurricane losses), and you need to protect your property, you can carefully photograph the areas that you are protecting before you cover them or alter them. That way, you’ve preserved evidence of the damages.
D. On occasion, there are disputes between you and the adjuster on what was damaged, or how much damage occurred. Adjuster like to write estimates to clean and repair stuff rather than replace it. Your photo of the damage may be the proof you'll need to get paid correctly.
Take a camera, lots of film (or disposable cameras) and a pad of paper. Photograph ALL DAMAGE, INTERIOR AND EXTERIOR. TAKE PHOTOS OF CONTENTS DAMAGE. There might be hidden damage…don’t worry about that. Just get photos of the damage in plain sight. On the pad of paper, make a log of every shot you took. Don’t wait for the adjuster to do take the photos. He might be days or weeks from inspecting your property. Your insurance contract requires you to mitigate your damage.
If you can, get hold of a video camera and a couple of video tapes. You might need a floodlight or other very powerful battery-powered light. If your dwelling is safe to walk through, take video footage of every room in the house where there is damage. Take footage from every angle in every room. Make sure you take footage of your damaged contents. Shoot footage inside closets…in open drawers, inside boxes, on bookshelves, inside cabinets, in the garage where lots of junk is stored. Take shots of all four sides of your home from the outside. If you have exterior damage, shoot it. Take footage of the debris in the yard, especially if it has contents items that the fire department threw out in the yard. After a tornado, your property might be strewn all over the place. Shoot it. After a flood, lots of stuff may have been hauled out and dropped in the yard. Shoot it.
If you can’t get a video camera, then use a digital camera and take still photos. If you can’t get a digital camera, use a 35mm camera. Use the camera in your cell phone. Heck, use disposable cameras. JUST TAKE THE PHOTOS AND GET YOUR DAMAGES ON FILM!!
NEVER give your film negatives or original videotape to the adjuster. Give copies of the photos and videos, if they ask for them. Keep track of your expenses for photos and videos…you can recover that cost from your insurance policy.
I promise that you'll never be sorry you photographed your loss. Think of it...there's no downside for you. The insurance company will reimburse you for your photos, and it will help you prove your loss.
But, if you don't take the photos, there's no upside for you. You are leaving your financial future in the hands of an adjuster you don't know.
Which sounds best to you?
For more information, go to: www.insurance-claim-secrets.com
Copyright 2008, Russell D. Longcore. All rights reserved.
Saturday, June 14, 2008
#3 of the Top Ten List - Mitigate your Damages!
This is #3 of the Top Ten List of things to do after you've had an insured loss...Mitigate your damages. These are excerpts from my book "Insurance Claim Secrets REVEALED!"
Remember, the word “mitigate” is an insurance term that means protecting the property from further damage. This can involve placing tarps over damaged roofing, removing damaged contents, pumping water out of your home or other temporary repairs. The costs for temporary repairs to protect your property are covered in your policy.
You have a responsibility in your policy to mitigate your damages. Depending on your individual situation, that may mean doing something as soon as possible after a loss. If you don't protect your property from further damage, the insurance company will likely deny the additional damage that will occur.
For example, if you have a windstorm that tears off your shingles. You do nothing to protect the roof and four days later, a big thunderstorm dumps a couple inches of rain on the roof, which causes water damage to ceilings throughout the house. The insurance company would pay to fix the roof, but not the water damage inside.
You may need a restoration contractor to mitigate the damages for you. I wrote about restoration contractors in Chapter Four. Here is a little extra comment about restoration contractors.
You might see many restoration contractors drop by to see if they can help you with temporary repairs, like tarps on roofs, board-up, pumping out water and demolition, and contents removal. Get written estimates from them BEFORE you sign ANYTHING. They will sometimes tell you that they were sent by the insurance company (maybe true, maybe not), and that it is your responsibility to protect your property from further damage (which is true). They may tell you that they will “direct bill” the insurance company (which they may do).
Be very careful on contents removal, sometimes known as “pack out.” The more contents they clean, the more money they make. The cost to clean something is a fraction of the cost to replace it. So, when the restoration contractors are involved, the claim value is reduced, which benefits the insurance company. That is why many adjusters may bring a restoration contractor with them to the loss location. Remember that many policies pay REPLACEMENT COST, and following major fires, large windstorm and water losses, most of your damaged possessions can be replaced instead of being cleaned. Every penny that goes for cleaning your contents comes from the contents limit of liability shown on your policy declarations page. So, theoretically, a substantial amount of your insurance money to replace your items could go to the restoration company to only clean the items!! If the restoration contractor cleans a bunch of your property, and you reject it as unusable, there will be less money for replacement of your property.
The contract for cleaning and restoration of your property will be between you and the contractor...not the contractor and the insurance company.
MAKE SURE YOU ARE IN CONTROL!!
Copyright 2008, Russell D. Longcore. All rights reserved.
.
Remember, the word “mitigate” is an insurance term that means protecting the property from further damage. This can involve placing tarps over damaged roofing, removing damaged contents, pumping water out of your home or other temporary repairs. The costs for temporary repairs to protect your property are covered in your policy.
You have a responsibility in your policy to mitigate your damages. Depending on your individual situation, that may mean doing something as soon as possible after a loss. If you don't protect your property from further damage, the insurance company will likely deny the additional damage that will occur.
For example, if you have a windstorm that tears off your shingles. You do nothing to protect the roof and four days later, a big thunderstorm dumps a couple inches of rain on the roof, which causes water damage to ceilings throughout the house. The insurance company would pay to fix the roof, but not the water damage inside.
You may need a restoration contractor to mitigate the damages for you. I wrote about restoration contractors in Chapter Four. Here is a little extra comment about restoration contractors.
You might see many restoration contractors drop by to see if they can help you with temporary repairs, like tarps on roofs, board-up, pumping out water and demolition, and contents removal. Get written estimates from them BEFORE you sign ANYTHING. They will sometimes tell you that they were sent by the insurance company (maybe true, maybe not), and that it is your responsibility to protect your property from further damage (which is true). They may tell you that they will “direct bill” the insurance company (which they may do).
Be very careful on contents removal, sometimes known as “pack out.” The more contents they clean, the more money they make. The cost to clean something is a fraction of the cost to replace it. So, when the restoration contractors are involved, the claim value is reduced, which benefits the insurance company. That is why many adjusters may bring a restoration contractor with them to the loss location. Remember that many policies pay REPLACEMENT COST, and following major fires, large windstorm and water losses, most of your damaged possessions can be replaced instead of being cleaned. Every penny that goes for cleaning your contents comes from the contents limit of liability shown on your policy declarations page. So, theoretically, a substantial amount of your insurance money to replace your items could go to the restoration company to only clean the items!! If the restoration contractor cleans a bunch of your property, and you reject it as unusable, there will be less money for replacement of your property.
The contract for cleaning and restoration of your property will be between you and the contractor...not the contractor and the insurance company.
MAKE SURE YOU ARE IN CONTROL!!
Copyright 2008, Russell D. Longcore. All rights reserved.
.
Top Ten List #2: Notify the Insurance Company
"Notify The Insurance Company." Seems sort of obvious, doesn’t it? But, there are different ways to notify the company that you’ve had a loss. And when you notify the insurance company can make a big difference in how your claim is handled.
This is an excerpt from the book "Insurance Claim Secrets REVEALED!"
The first place to look for information is on your policy. Many policies will have a telephone number listed for reporting a claim. However, I’ve seen policies that require the policyholder to notify the company in writing. So, make sure that the method of reporting your claim is acceptable to the insurance company. Likely, your agent has his name and telephone number on the policy. If so, call him and report the loss also.
Sometimes, an agent will have settlement authority to handle small losses, such as homeowner’s losses under $2,000.00. In that kind of instance, the agent could handle the claim for you. I’ve found this situation to be rare, though. Occasionally, captive agents (agents that work for only one company, like State Farm or Allstate) will have a small amount of settlement authority.
The first thing you should remember is that the agent is licensed by the Department of Insurance in his state to be an agent. There is a separate license for claims adjusters. It's actually a violation of insurance regulations for an agent to do claims adjusting. It’s not his job to handle your claim, but to assist you in buying the coverage that’s right for you. Agents can be very helpful by making calls on your behalf if you’re having problems in your claim. They can be helpful in finding out key names and phone numbers for insurance company personnel that are handling your claim. If the agent has a large number of policyholders with that company, and his clientele represents a large amount of premium to that insurance company, it can be very helpful to have the agent call on your behalf when you’re having problems.
After all, it’s all about customer service, and keeping the promises made in the insurance policy.
Sometimes, the agent or an office secretary/customer service representative will fill out a claim form (called an ACORD form), and submit the claim form to the insurance company on your behalf. In this age of the Internet, frequently the claim form is electronic, and the agent will submit the electronic form by computer.
If the agent notifies the company on your behalf, and uses some type of form, ask the agent to send you a copy of the completed form. Then, you’ll be certain that the claim was submitted, and the date the claim was submitted.
Many times, however, the agent will have to refer you to the claims department of the insurance company. Your policy may have a telephone number for the claims department listed on the policy, and instructions how to make a claim.
Your policy requires you to notify the insurance company “in a timely manner” after you’ve had a claim. What is timely? It varies policy to policy. But each state has statutes of limitation that limit the amount of time after a claim occurrence that a claim can be made. Check with your state’s Department of Insurance to determine the statute of limitation where you live…or where the loss occurred. You’ll find a list of all of the Insurance Departments of all 50 U.S. states and their phone numbers in the Appendix, and at the website at: www.insurance-claim-secrets.com .
For example: you live in Minnesota, and own a retirement home in Florida. The Florida house gets hit by a hurricane. The statutes for Florida would apply.
WARNING: If you wait more than a month after your loss to notify the insurance company, they will be instantly suspicious. In those cases, you should expect to receive one of two forms from the insurance company before they begin their investigation of the loss:
Non-Waiver Agreement. This basically states that the insurance company is going to do a thorough investigation of the claim, but that their investigation does not commit them to pay the claim. It states that they do not waive any of their rights under the policy, and that the insured does not waive any of his rights by cooperating with the investigation. The insurance company wants the insured to sign this form. However, if the Insured refuses to sign the form, the insurance company will send him a….
Reservation of Rights letter. This states basically the same thing as a Non-Waiver Agreement, but the Insured does not have to sign it.
Don’t forget to write in your claim journal the date, time, who you spoke with, the phone number you called, and what was said when you reported your claim. That information could be very valuable later if you have problems with your claim.
Most likely, you’ll receive a claim number from the company when you report the loss. Write the claim number in your journal!!! Don’t expect the insurance company to quickly send you a form that has the claim number on it. Sometimes, it may be many days before the claims department sends you any correspondence, and you will likely need to speak with them before then.
WARNING: What about a situation in which someone else is at fault, and you’re making a claim against the other person’s insurance company? This could happen in an auto accident, or if someone causes damage to your house, or your contents. EVEN IN THIS SITUATION, you must notify your own insurance company that you’re involved in a claim.
The reason is that third party claims don’t always turn out well for you, the claimant. Sometimes, the other person’s insurance company denies liability or denies coverage. Sometimes, the other person’s insurance company drags the process out. Sometimes, the other person’s insurance company makes a settlement offer far below the fair value of the claim. Months may pass, and you have suffered a financial loss that is not getting paid.
What if you, or someone in your family, is injured in the claim…and the other guy’s insurance company won’t accept liability?
Those things might occur weeks or months after a loss. In many cases, you can short-cut that process and make a claim against your own insurance policy to repair the damages. Then your insurance company will do something called “Subrogation.” That is, they will pay your claim, and then contact the other person’s insurance company and demand reimbursement, including your deductible.
So, if you don’t report your claim right away, the policy might allow that insurance company to deny your claim based upon late reporting.
Besides, your policy REQUIRES you to notify the insurance company “promptly” after you have a loss of covered property. That requirement is there no matter who is at fault for the damages.
Don’t get caught in this technicality! Don’t lose your right to collect what you deserve.
Copyright 2008, by Russell Longcore. All rights reserved.
This is an excerpt from the book "Insurance Claim Secrets REVEALED!"
The first place to look for information is on your policy. Many policies will have a telephone number listed for reporting a claim. However, I’ve seen policies that require the policyholder to notify the company in writing. So, make sure that the method of reporting your claim is acceptable to the insurance company. Likely, your agent has his name and telephone number on the policy. If so, call him and report the loss also.
Sometimes, an agent will have settlement authority to handle small losses, such as homeowner’s losses under $2,000.00. In that kind of instance, the agent could handle the claim for you. I’ve found this situation to be rare, though. Occasionally, captive agents (agents that work for only one company, like State Farm or Allstate) will have a small amount of settlement authority.
The first thing you should remember is that the agent is licensed by the Department of Insurance in his state to be an agent. There is a separate license for claims adjusters. It's actually a violation of insurance regulations for an agent to do claims adjusting. It’s not his job to handle your claim, but to assist you in buying the coverage that’s right for you. Agents can be very helpful by making calls on your behalf if you’re having problems in your claim. They can be helpful in finding out key names and phone numbers for insurance company personnel that are handling your claim. If the agent has a large number of policyholders with that company, and his clientele represents a large amount of premium to that insurance company, it can be very helpful to have the agent call on your behalf when you’re having problems.
After all, it’s all about customer service, and keeping the promises made in the insurance policy.
Sometimes, the agent or an office secretary/customer service representative will fill out a claim form (called an ACORD form), and submit the claim form to the insurance company on your behalf. In this age of the Internet, frequently the claim form is electronic, and the agent will submit the electronic form by computer.
If the agent notifies the company on your behalf, and uses some type of form, ask the agent to send you a copy of the completed form. Then, you’ll be certain that the claim was submitted, and the date the claim was submitted.
Many times, however, the agent will have to refer you to the claims department of the insurance company. Your policy may have a telephone number for the claims department listed on the policy, and instructions how to make a claim.
Your policy requires you to notify the insurance company “in a timely manner” after you’ve had a claim. What is timely? It varies policy to policy. But each state has statutes of limitation that limit the amount of time after a claim occurrence that a claim can be made. Check with your state’s Department of Insurance to determine the statute of limitation where you live…or where the loss occurred. You’ll find a list of all of the Insurance Departments of all 50 U.S. states and their phone numbers in the Appendix, and at the website at: www.insurance-claim-secrets.com .
For example: you live in Minnesota, and own a retirement home in Florida. The Florida house gets hit by a hurricane. The statutes for Florida would apply.
WARNING: If you wait more than a month after your loss to notify the insurance company, they will be instantly suspicious. In those cases, you should expect to receive one of two forms from the insurance company before they begin their investigation of the loss:
Non-Waiver Agreement. This basically states that the insurance company is going to do a thorough investigation of the claim, but that their investigation does not commit them to pay the claim. It states that they do not waive any of their rights under the policy, and that the insured does not waive any of his rights by cooperating with the investigation. The insurance company wants the insured to sign this form. However, if the Insured refuses to sign the form, the insurance company will send him a….
Reservation of Rights letter. This states basically the same thing as a Non-Waiver Agreement, but the Insured does not have to sign it.
Don’t forget to write in your claim journal the date, time, who you spoke with, the phone number you called, and what was said when you reported your claim. That information could be very valuable later if you have problems with your claim.
Most likely, you’ll receive a claim number from the company when you report the loss. Write the claim number in your journal!!! Don’t expect the insurance company to quickly send you a form that has the claim number on it. Sometimes, it may be many days before the claims department sends you any correspondence, and you will likely need to speak with them before then.
WARNING: What about a situation in which someone else is at fault, and you’re making a claim against the other person’s insurance company? This could happen in an auto accident, or if someone causes damage to your house, or your contents. EVEN IN THIS SITUATION, you must notify your own insurance company that you’re involved in a claim.
The reason is that third party claims don’t always turn out well for you, the claimant. Sometimes, the other person’s insurance company denies liability or denies coverage. Sometimes, the other person’s insurance company drags the process out. Sometimes, the other person’s insurance company makes a settlement offer far below the fair value of the claim. Months may pass, and you have suffered a financial loss that is not getting paid.
What if you, or someone in your family, is injured in the claim…and the other guy’s insurance company won’t accept liability?
Those things might occur weeks or months after a loss. In many cases, you can short-cut that process and make a claim against your own insurance policy to repair the damages. Then your insurance company will do something called “Subrogation.” That is, they will pay your claim, and then contact the other person’s insurance company and demand reimbursement, including your deductible.
So, if you don’t report your claim right away, the policy might allow that insurance company to deny your claim based upon late reporting.
Besides, your policy REQUIRES you to notify the insurance company “promptly” after you have a loss of covered property. That requirement is there no matter who is at fault for the damages.
Don’t get caught in this technicality! Don’t lose your right to collect what you deserve.
Copyright 2008, by Russell Longcore. All rights reserved.
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