What You Should Know When Making an Insurance Claim
A person who files an insurance claim is simply requesting benefits from his insurance policy. However, in order to receive those benefits, that insured person (the “insured”) must follow a claims process. On a home or auto insurancepolicy, the first step is to contact the insurance agent and fill out the claim form. After reporting the incident, the insured will need to speak with the claims adjuster willwho confirm coverage, take statements, inspect damaged property, and prepare an estimate for repair. When everything has been verified, a check will be issued to the insured.
It is important to note that making two or three claims in a short period of time may result in a nonrenewal of the insurance policy. Insurance companies evaluate the “risk” they are taking by insuring an individual, and those that are poor risks are not usually renewed. To avoid making an unnecessary claim, the insured should confirm that the claim will exceed the amount of his deductible before reporting the claim.
For any insured, it is important to:
- Read the policy. The policy is a written contract between the insured and the insurance company. The insured shouldknow what the policy says, including what is covered, what is excluded, and how much the deductible is. If an insured has questions about the policy, he should ask his insurance agent first before making a claim.
- Report the claim quickly. When a claim needs to be reported, an insured should contact his insurance agent as soon as possible. Doing so will speed the claims process and reduce the time required to receive payment.
- Locate insurance-friendly service providers. Use print and online resources such as Claims Pages to find repair facilities. They are used to working with insurance companies and can help with temporary repairs prior to adjuster contact.
These are only a few of the things that an insured should know before making an insurance claim. To become more familiar with the claims process, contact your insurance agent and browse insurance websites such as Claims Pages and the Insurance Information Institute.