Your homeowner’s insurance premium is probably baked into your monthly mortgage payment, so you don’t think much about it. But when your home is damaged by fire, flood, mold or any other condition, you need to rely on that policy to secure the funding needed to remedy the issue at hand and fix your residence. Yet, despite diligently paying your insurance premium each month, there’s a fair chance that your claim will be denied.
Your insurance company might question the cause, nature and extent of the damage, as well as how that damage was caused. And when this results in claim denial, it’s easy to feel defeated. But you shouldn’t sit back and simply accept the loss. Instead, you should find a way to advocate for the resources that you deserve under the terms of your policy. Let’s take a closer look at how you can do that.
What steps should you take after a homeowner’s insurance claim denial?
Although a claim denial can feel like a punch to the gut, you can’t get too down on yourself about the situation. Instead, you should use your frustration and anger as motivation to appeal the denial in question. Here are some steps that you should take in the aftermath of a claim denial that may help position you for a successful appeal or subsequent legal action:
- Thoroughly review the terms of your policy: Although it might be dense, you should read through your insurance policy so that you understand its terms. By doing so, you’ll have a better idea of why the insurance company denied your claim and how you can argue that your claim is supported by the policy’s terms. If you have questions about what specific provisions mean, then you should discuss those with your attorney.
- Seek clarification: Although the insurance company should send you a justification for the claim denial, you may want to follow up for more specific detail about the reasoning behind the insurance company’s decision. This will give you a better idea of how you might be able to attack the insurance company’s position.
- Document everything: All too often, insurance companies give their customers the runaround. If you suspect that your claim is being handled in bad faith, then you need to recall every interaction that you’ve had with the insurance company to build your case. So, write down the details of every phone call you have with insurance representatives as well as conversations you have in-person with an adjuster, and be sure to retain any email correspondence with the insurance company.
- Understand the appeal and legal claim process: There’s a very specific path you should follow if you want to appeal your claim denial and eventually file a lawsuit against your insurance company. You need to understand how that process plays out and what your rights are during each of them so that you can navigate them with confidence. Your attorney might be able to guide you here so that you don’t make an inadvertent mistake that proves costly to your case.
Don’t let your homeowner’s insurance company get away with treating you unfairly
A denied homeowner’s insurance claim can prove extraordinarily costly. It might even leave you in a position where you’re unable to keep your home or other crucial assets. Don’t let that happen to you. Instead, further educate yourself on the appellate process so that you can aggressively act to protect your interests. By doing so, you’ll hopefully secure the just outcome that you deserve and that holds your insurance company accountable for what they’ve done wrong.
