Learning that the property insurance claim you submitted in the wake of discovering damage has been denied can be a frustrating and disheartening experience. This may be especially if you believe that the denial was unjust. Thankfully, there are additional steps that you can take to hopefully rectify this situation.
Depending on the ins and outs of your situation, you may be in a position to contest the decision and potentially reverse the outcome.
First steps
Before committing to a particular course of action, you’ll want to thoroughly review your insurance policy to make sure that you understand your coverage details. Then, you’ll want to review your denial documentation. Pay special attention to the reasons that the insurance company has cited for the denial. Sometimes, a denial occurs due to a misunderstanding or misinterpretation of policy terms. Therefore, understanding your policy might be able to help you to challenge the denial on solid grounds.
Before you submit a challenge, you’ll want to gather relevant documents that support your claim. This effort may involve taking photos or videos of the damage, making copies of repair estimates, tracking down reports from independent assessors and gathering any other evidence that proves the extent of the damage and the costs associated with repairing or replacing your property. Detailed records can strengthen your case when contesting the denial of your claim.
Taking action
Most insurance companies have an internal appeal process. You’ll need to respond to the denial per their company protocols, clearly stating why you believe the claim was wrongfully denied and including all supporting documentation. You’ll want to be specific and detailed in your letter, and ask for a review of your case.
At that point, if your appeal request is denied, delayed or otherwise handled improperly, it will be important to explore any additional legal options available to you. From pursuing legal action to filing a complaint with your state’s insurance commissioner’s office, the best course of your action for your situation will be dependent upon the circumstances of your case.
At the end of the day, what’s most important to understand is that a denial doesn’t mean that you’ve run out of options. Exploring potential next steps can help to better ensure that you’re eventually granted what you’re rightfully due.
