Your homeowner’s insurance coverage is your safety net in case of storm damage or something similar. But insurance claims don’t always pay out as expected. Sometimes they’re even denied. Local roofing company American Roofing & Construction, LLC discusses why some roof claims are denied or underpaid, and what you can do about it.
One of the first things you should know about insurance claims is that they are generally not paid out at full value because of your policy deductibles: the out-of-pocket costs that you’re responsible for before your insurance provider will cover the remainder of a loss. Choosing higher policy deductibles can lower your insurance premiums, however, which means you will receive a lower payout when you file a claim.
The following are other reasons why insurance claims may be denied or underpaid:
Not meeting your deductible. Your insurance provider may make the distinction between different types of damages (hurricane damage versus windstorm damage, for example) and therefore may specify different deductibles. A claim may not meet the deductible for one type of damage and may result in a denied claim.
Insufficient coverage. A claim for damage may exceed your coverage limit and put a limit on how much you can receive.
Named-peril vs. open-peril policies. A named-peril policy will cover losses caused by perils specifically named in the policy, while an open-peril policy will cover all losses except those excluded by the policy. If the cause of the damage happens to be excluded from your policy, then your insurance provider may deny your claim.
Someone else is liable. Homeowner’s insurance doesn’t cover roof repair for damage from intentional or negligent acts caused by people. To protect yourself against accidental damage caused by a roofer, make sure you hire one that has general liability coverage.
If you feel like your claim was wrongfully rejected, make sure that you have all necessary documentation (per the insurance company’s guidelines) and be prepared to submit them when requested. You can also work with an insurance claims attorney who can review your insurance policy, denial letter and other claim details, and help you cover all your bases when filing an appeal.
Working with an experienced roofer like American Roofing & Construction, LLC when filing an insurance claim can help streamline the process and lower the chances of a claim being denied or underpaid. Give us a call at (251) 379-9712 or (205) 223-2469. You may also fill out our contact form to schedule an appointment.
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