Things You Need To Know Regarding Your Fire Insurance Claim

Fire claims are some of the most devastating kinds of claims there is out there. Fires can engulf your home and destroy both the structure and your personal belongings in a matter of minutes. In the worst of them, there is loss of life.

As such, when facing property damage caused by fire, the last thing you need is an insurance company that pushes you around, gives you a hard time with your claim, or employs various tactics to pay you as little as possible.

We’ve compiled a list of things you need to know regarding your fire insurance claim. We hope that these tips help you achieve a fair claim settlement as soon as possible.

As a policyholder, it is your duty to mitigate damage after a loss. What this means is that you need to ensure your property does not sustain more damage after the fire. If the fire affected only a portion of your home, make sure you take necessary measures to ensure:

• That your property is secure and boarded up so that it is not looted,
• That you separate and keep safe all undamaged belongings, and
• That your property is watertight and not exposed to the elements such as rain or snow.

Check your insurance policy and know what and how much you are covered for. If you are unsure, contact a public adjuster so they can check it for you. The use of a public adjuster is explained more in item #7.

You may do so by contacting your insurance agent or the insurance carrier directly.

Typically, the information that you need to provide when reporting a claim are as follows:

• The date and time of the fire
• Location
• Condition of your property
• If any other properties were damaged
• Any injuries or fatalities
• General description of damage to your contents (personal belongings)
• Any emergency repairs needed (for example: boarding up to secure the home)
• Police report

You will be asked by your insurer to make an inventory of everything you’ve lost in the fire and to prove that you had them.

Due to the sheer volume of work required to do this correctly, you might be tempted to list items from memory and submit that just to get it out of the way. Remember that every little item in your home has value and if you want to have the funds to be able to replace them, you must diligently make this inventory.

Here are some tips that would help you:

• Take photos and videos of everything immediately after the fire and as you sort through your personal belongings.
• Do not throw anything away.
• Make a list of items you’ve lost. The sooner you do this, the fresher your memory is. An effective way to do this is by walking room to room and going through each room thoroughly. This is better than trying to remember from memory.
• In the event of extensive damage where most items are unidentifiable, go through pre-fire photos and videos of your home for reference.

If you are unable to live in your home due to the fire, keep track of your living expenses.

In your insurance policy, there is something called Loss of Use or Additional Living Expenses coverage. This covers you for your living expenses while you are unable to live in your home. It’s important to note that this provision only covers you for the difference in your living expenses prior to the fire and after the fire.

Say for example, prior to the fire your monthly living expenses added up to $2,500. Due to the fire, you’ve had to stay at a hotel, pay for laundry, drive extra miles to work, eat at restaurants because you’re unable to cook, etc., causing your monthly expenses to add up to $6,000. The Additional Living Expenses provision in your policy means you will be reimbursed for the $3,500 difference. Remember to check your coverage limit in your insurance policy documents.

This will ensure you have funds to cover your expenses such as accommodation, clothes, food, and other necessities.

Remember to keep all receipts as you will need to submit them to your insurer. Exercise property discretion with spending the money; your insurer may refuse to pay for frivolous expenses.

Managing a claim can be extremely stressful, frustrating, and time consuming. If you don’t know what you’re doing, there is a possibility that you’re going to receive a settlement that’s a lot less than what you need and deserve.

A public adjuster is your ally and advocate. Your public adjuster will take the burden and stress involved in managing your insurance claim from you. They will work with your insurance provider to ensure that you receive a claim settlement that returns you to your pre-loss condition and is in accordance with the terms and conditions of your insurance policy.

Here’s how a public adjuster can help you with your fire insurance claim:

• They can arrange emergency mitigation services for you. In the panic and chaos ensuring from a fire, you may not even know what to do. A public adjuster would have a network of contractors that can attend your home at a moment’s notice.
• They can file the claim for you.
• They can document the damage to your property and personal belongings so that you have evidence to support your claim.
• They can help inventory your personal belongings damaged in the fire.
• They can ensure that the correct extent of the damage is claimed for. What does this mean? Say you suffered a partial loss. If only one room in your home was damaged in a fire, you might be tempted to only focus your attention to that room. However, remember that with fire comes smoke, and smoke reaches far beyond what caught fire. Even clothes in your wardrobes and food in your pantry can be damaged by smoke. A public adjuster will thoroughly inspect your property and identify damage that you may otherwise miss.
• They will prepare/obtain repair estimates that represent the actual cost you may incur in repairing your property. In most cases, estimates coming from the insurance company’s adjuster are significantly lower and if you accept a settlement based on this estimate, you stand to suffer a huge financial loss.
• They will prepare all the necessary documents for you.
• They will negotiate the settlement for you. A public adjuster will only accept a settlement without your instructions. They will be able to advise if the settlement being offered to you is fair and reasonable.
• If your insurance provider is being very uncooperative, delaying your claim, and/or offering you a ridiculously low settlement, your public adjuster will help you as your claim is escalated to the appraisal process.

These are some of the key things your public adjuster can do for you. When you find the right public adjuster, it will feel like having a lifeline at a time of great distress.