About 20% of insured homeowners file a claim, each year with about 2.5% of those claims relating to wind and hail damages. The statistics show how common property damages are, primarily due to natural disasters.
While you cannot foresee those damages, the least you can do is ensure your assets are protected with property damage insurance.
Your property, whether it’s a home or business, is your most significant investment. Even the slightest property damage can push you to frustrations and grief.
Unforeseen disasters like floods, fire, and weather damages can leave you displaced and with no income. This is where property insurance comes in to give you peace of mind.
Property insurance offers you financial security. In case of theft, you can replace the stolen valuables without using your pocket money. The same applies if your property is damaged by fire or water. This means you can get back on your feet without harming your personal finances.
If you are interested in matters concerning property insurance, here is everything you should know.
What Is Property Insurance?
You ought to understand property insurance and how it works before getting a policy. Property insurance and home insurance are often used interchangeably.
Unlike home insurance, property insurance protects your assets, which can be in the form of a building or a car and its content. Homeowner’s insurance is, therefore, part of property insurance.
Other policies under this coverage include flood insurance, auto insurance, renters insurance, and earthquake insurance, to mention a few.
Do You Need Property Damage Insurance?
Anyone who owns valuable or expensive property should consider getting a property insurance policy. In fact, some policies are mandatory in most states.
For instance, all states demand that you have auto liability coverage before heading on the road. Moreover, the law requires you to have property insurance to qualify for a mortgage.
Property insurance policies aim to help you cater to damages on your valuables due to theft, fire, floods, storm, and other weather casualties.
Furthermore, liability coverage covers the cost of repairing and replacing someone else’s property resulting from damages caused by your negligence. For example, if your car crashes on your neighbor’s fence, your liability coverage will cater to its repair.
You Must Gather Proof of Damage before Filing a Claim
The period after a break into your property, fire outbreak, or floods can be frustrating. But property insurance makes it easier for you to get back on your feet.
Nonetheless, you must have substantial proof that the incurred losses result from the said disaster when filing a claim.
Note that you should inform your insurer about the damages as soon as possible. Otherwise, you lower your chances of recovering from the damages fully.
Your property insurance coverage has a clause that requires you to give the insurer timely notice of a claim. You should also keep track of the damages, such as structures and possessions. Include everything with a monetary value to determine the ideal amount that you should receive for compensation.
Keep in mind that the insurer is not your ally. The adjuster only cares about the insurer’s financial interests, so you should be cautious with how you approach the situation.
The insurer knows you are gullible and desperate to get compensation. They will trick you into accepting the lowest payment. The best way to go about it is to hire reliable lawyers such as Shochet Law Group to take over the claim filing process.
The attorney will use their negotiations skills and law expertise to get you the highest compensation value possible. The professional understands property damage law better than you do and knows when your rights are being violated.
What’s more? The attorney knows where to look and what to look for when gathering evidence. They will include any aspect resulting in financial changes to ensure you get adequate payment to cater to the damages.
Property Damage Insurance Policies Are Not the Same
Property insurance policies vary based on the provider, deductibles, damage levels, and policy limit. You may have mass property insurance coverage that covers everything from theft to system failures. On the other hand, you may get a policy that covers specific aspects.
Your property insurance policy will have clear stipulations and details on what you can claim and what is not covered. It would help if you let your property damage lawyer go through the policy before explaining it to you. Some of the damages covered by property insurance include;
- Storm damage
- Fire damage
- Water damage
- Hurricane damage
- Tornado damage
- Property damages from a car accident
- Mold damage
These damages are included in the general property insurance. However, your policy may have some details that exempt the insurer from compensating you.
For instance, if your property has mold growth that does not cause any structural damages, you will have to handle mold removal on your own. Also, in the event of a car accident that results in another vehicle’s damages, the expenses will be covered by your auto insurance.
Similarly, property insurance may not cover some water damage instances such as flooding and backed-up sewers.
If you live in an area prone to earthquakes and floods, your insurer is likely to exempt such disasters. Therefore, you must read and understand your policy before filing a claim.
Protect Both Your Property Structure and Content With Comprehensive Property Insurance
Are you into the real estate business? Or are you a homeowner looking to protect your valuables? It would be best to consider getting property damage insurance to cover both your structural properties and their content.
You will have peace of mind knowing that your assets are secured from mishappenings. The best part is that property insurance features much affordable premium rates compared to other policies.
Even better, you can quickly regain your life back on your feet and speed up the rebuilding process after damages.
Keep reading our articles for more tips and guides.