Property damage, whether home or commercial, refers to the destruction after an incident resulting from negligence, trespass, or conversion. The damage can involve real estate, personal property, or business equipment. If you want compensation for the loss, you need to follow due process, most of which includes documentation to make your case. Also, for extensive property damage, consulting a professional helps in the process of accessing substantial compensation.
After experiencing property damage, the first step is to take immediate safety measures. The measures typically depend on the type of damage. Causes like fire, flooding, exposed wires, or severe structural compromise require immediate attendance to ensure the safety of the inhabitants, whether family, friends, guests, or employees, and also prevent further escalation of the issue. Typical safety measures include turning off the main power or water, extinguishing fires, and blocking out risky areas. Commercial property and large residential areas like apartments may require evacuations.
Secondly, and equally important, is documenting the damage. Insurance companies and the courts require visual proof of the damage to ease the case determination process and eventual compensation. It also enables the insurer to approximate the property damage claim. Various documentation methods for the claim exist.
The first includes an indication of the time and place of the incident, the involved parties, and a detailed description of the occurrence. Secondly, you should take photographs and videos of the damage from different angles, focusing on the damaged area and items.
List the damaged items and attach receipts if possible. Documentation also involves taking the insurance details of the party responsible for the damage. Though the documentation for the claim process is similar between residential and commercial properties, the latter might require extra information and proof to cover the loss of business income.
For buildings, it is necessary to undertake further emergency repairs to reduce the chances of further damage or vandalism. However, ensure you contact your insurer first and alert them on the repairs or guidance on the action to take. The repairs include boarding broken windows and doors, fixing leaks, and relocating undamaged items. Some tasks may require professionals, such as water extraction services for damage from flooding.
Ensure you keep the receipts for the repairs, as most insurance companies reimburse the money.
The next step involves officially contacting your insurance company to start the claims process. Ensure you research the allowable maximum reporting time after the incident. In most cases, delays in claims increase the chances of missing out on compensation. The best practice is to report immediately. The insurance companies typically require a list of damaged items, photos, copies of the property lease and police report, and receipts.
After filing the claim, the insurance company assigns an adjuster to your case. The adjuster is tasked with inspecting the damage and determining the compensation amount depending on the policy’s coverage and terms. However, before you meet the adjuster, ensure you have reviewed the policy, with special attention to the deductibles, limits, and exclusions. Also, consult a professional, such as a repair and remodeling consultant, for an estimate on replacement and repair costs. This reduces the chances of underestimation by the adjuster and, thus, less compensation.
After assessment, the insurance company makes an offer based on the report from the adjuster. If you agree with the offer, they settle the claim. If you feel short-changed, you can negotiate, provide additional documentation, or seek professional assistance from a lawyer or insurance professional.
