Your Essential Guide to Home and Auto Insurance
The steps to getting your home or car insurance claim paid are essential because they provide a structured and transparent process for policyholders to follow when they need to make a claim.
Here's why understanding and following these steps is important:
Step 1: You file your claim
File a claim as soon as you can to get the process started. This could be your insurance company or someone else’s insurance company. You can call the company, file a claim online. The company might ask for more information to investigate your claim. The company has 15 business days to let you know it got your claim.Tips:
- Keep pictures and videos of all damage.
- Make only temporary repairs to keep the damage from getting worse.
- Keep receipts for related expenses.
Step 3: An adjuster looks at the damage
If your company accepts your claim, an adjuster will visit in person or look at photos of the damage to estimate repair costs. Be at home or with your car when the adjuster comes so you can point out the damage.Tips:
Get the adjuster’s name, phone number, and email address.Step 4: You choose a contractor or shop
Get estimates from more than one contractor or body shop. Show these to the adjuster and tell them about any other damage the contractor or shop found that the adjuster didn’t. Ask contractor or shop about supplemental damage reimbursement as well.Tips:
Ask friends and neighbors for contractor or shop references. Don’t sign a contract with blank spaces or pay in full upfront.Step 5: You get paid
The company must pay you within five business days after it agrees to pay your claim. The insurance company will subtract your deductible from your payment if you used your own insurance. You will owe that deductible to the contractor or body shop.For home claims, you might get two payments if you have replacement cost coverage. The first payment is for the estimated repair costs minus depreciation. Depreciation is a decrease in value because of your home’s condition and age. The second payment comes after the repairs are done.
If you have a loan on your house, the company will usually send the payment to your mortgage company. The mortgage company must get in touch with you within 10 days of getting the payment. You will then work with the mortgage company to get the money released for repairs.