Five Common Reasons For Property Damage Claim Denials
You pay high premiums for home insurance in the event of property damages. Unfortunately, dealing with insurance companies is never easy and it can come as a shock when a claim is denied. This happens all too often. Find out the five most common reasons behind property damage claim denials.
- Late Payments
According to a November 2021 Bankrate report, the average cost of homeowner’s insurance in Florida is roughly $1,500 for a property valued at $250,000. Of course, this is just an average and is for only the most basic coverage. Most homeowners in Daytona Beach end up paying considerably more. Even if your rates fall well within your budget, it is easy to fall behind or mistakenly miss a payment.
This is a common cause for property damage claims denials. You may not even realize your policy is no longer in effect until you get the denial letter from your insurer. To prevent this from happening, check to ensure you are paid up regularly.
- Inadequate coverage.
Buying the cheapest insurance or the most basic coverage will not protect you against common types of property damages in Daytona Beach. The Florida Department of Financial Services advises that you will need to purchase a supplemental policy to protect you against heavy winds, flooding, and other problems that can arise due to hurricanes in our area. Be aware of your insurance deductible as well. Having a high deductible can save you money on policy premiums but could prevent you from being covered for certain losses.
- Missed filing deadlines.
As a general rule, when property damages happen, it is important to let your insurer know right away. Mist policies have certain filing deadlines, after which you will be excluded from coverage. In addition, make sure to check for property damages regularly and after storms or other adverse events. Not being aware that damage occurred and filing a claim too long after can leave you paying out-of-pocket.
- Lack of documentation.
According to a December 2021 Sun Sentinel report, increased incidences of property damage insurance fraud is driving up homeowner’s premiums across the state. It is also making insurers more vigilant in instigating claims and more likely to issue denials. Overstating damages, overestimating repair costs, and any type of miscalculation or exaggeration in your claim will likely result in a denial.
- Damages not covered.
Always read through insurance documents carefully when purchasing a policy and pay attention to exclusions. These are certain items that for one reason or another, are not covered. Be aware that filing a claim for damage caused by normal wear and tear or negligence in maintaining the property will also likely result in a denial.
Contact Us Today for Help
At Bundza & Rodriguez, we defend homeowners against denied property damage claims, helping them get the compensation they are entitled to. To discuss your case, call or contact our Daytona Beach property damage attorneys online and request a consultation today.