Dealing with an insurance claim after a loss can be overwhelming, but taking control of the process ensures you receive the compensation and support you deserve. This step-by-step checklist will help you navigate the complexities of the claims process, safeguard your interests, and avoid common pitfalls.
Step 1: Take Control of Your Insurance Claim
The first step to a successful claim is to organize and act decisively.
1. Mitigation Measures: Protect your property from further damage. Board up windows, secure doors, and document all steps in writing to inform your insurance company.
2. Notification: Notify your insurance agent and mortgage company of your loss. Request a certified copy of your insurance policy and documentation on repair procedures.
3. Emergency Preparations: Arrange for temporary utilities like electricity and heating, and winterize waterlines if necessary.
4. Content Inventory: Assist pack-out companies in identifying salvageable and non-salvageable items. Take photos and create an inventory list before pack-out.
5. Contractor Bills: Submit initial invoices, such as board-up or pack-out bills, to your insurance company for reimbursement.
6. Communication: Always involve a public adjuster when dealing with the insurance adjuster at the loss site.
Step 2: Plan of Action
Strategic planning during the claims process ensures fair compensation and efficient repairs.
1. Policy Review: Understand your insurance coverages, extensions, limitations, and exclusions. Review all provisions carefully to maximize your claim.
2. Damage Assessment: Conduct room-by-room appraisals of structural damage and inventory of contents. Take detailed photos and document depreciation for each item.
3. Expert Opinions: Seek second opinions from contractors or engineers on structure estimates, particularly for complex damages.
4. Repair Estimates: Obtain estimates for all structural repairs, landscaping, and construction utilities during the restoration process.
Step 3: Take Action – Negotiation Time
Negotiating with your insurance company is a critical phase that requires meticulous documentation.
1. Submit Proof of Loss: Provide a notarized Proof of Loss, along with detailed documentation for structure and contents.
2. Expense Tracking: Record all additional living expenses and submit them for reimbursement.
3. Joint Walkthrough: Walk through the loss site with your insurance adjuster to agree on contents, pricing, depreciation, and recoverable depreciation.
4. Finalizing Estimates: Agree on costs for pack-out, storage, refinishing, and all other restoration expenses.
Step 4: Acceptance of Settlement
Before accepting any settlement, ensure it aligns with your documented damages and policy provisions.
1. Evaluate Offers: Review the insurance company’s offer thoroughly. Analyze replacement cost and actual cash value (ACV) evaluations for structures, contents, and additional coverage areas.
2. Resolve Disputes: Address problem areas and discrepancies before signing the agreement. If necessary, initiate the appraisal process to resolve conflicts.
Step 5: Contractor Selection
Choosing the right contractor is crucial to the quality and timeliness of your repairs.
1. Due Diligence: Request references, verify licenses, and ensure all subcontractors are bonded and insured.
2. Detailed Contracts: Include specific budgets, timelines, and warranties in the contractor’s agreement. Specify materials, colors, and finishes to avoid discrepancies.
3. Payment Terms: Avoid large upfront payments and hold back a percentage of the final payment until you’re completely satisfied with the work.
4. Inspections: Ensure all permits and inspections are completed before making final payments.
Step 6: Submit Paperwork to Mortgage Company
If you have a mortgage, the lender’s approval is often required during the restoration process.
1. Documentation: Submit the contractor’s contract, adjuster’s report, and payment agreements to the mortgage company.
2. Payment Approval: Obtain written authorization from the mortgage company to release funds for repairs.
3. Lien Waivers: Ensure all construction and utility bills are paid and obtain lien waivers from the contractor.
Step 7: Other Services We Provide
At CPR Claims, we offer additional services to support you throughout the claims process:
• Claim File Audit: We review your insurance company’s offer to ensure you’ve been properly compensated.
• Conflict Resolution: If disputes arise, we assist with the appraisal process to achieve a fair settlement.
Final Tips for Success
• Stay Organized: Document every step, keep track of expenses, and maintain clear communication with all parties involved.
• Be Proactive: Don’t wait for the insurance company to take action. Your active participation ensures a smoother process.
• Rely on Experts: Partnering with a public adjuster or contractor you trust can help you navigate complex claims effectively.
Taking control of your insurance claim is about empowerment and preparation. With this checklist, you can confidently manage the process, secure fair compensation, and restore your home to its former state. If you need assistance, CPR Claims is here to guide you every step of the way.
