Home insurance is an essential expense for any homeowner. It protects you in case of damage to your home and property, including total loss. Review your policy to learn what types of loss your insurance plan covers, the total cost it covers, and what it excludes from coverage.
Don’t get caught off guard! Ensure that you’ve covered these common reasons why your home insurance claim could be denied so you know you’re protected.
1. Lack of Coverage
Insurance policies only offer the coverage you pay for. If your policy doesn’t offer enough coverage for the rebuild cost of your home, you will be responsible for paying the difference between your insurance payout and the actual cost of repairs or replacement. Use the Douglas Residential Cost Guide to ensure that your home and property are insured for the correct amount before tragedy strikes!
2. Policy Exclusions
Standard home insurance policies typically cover what are called common perils, such as fire, lightning, and wind. Other, more unusual perils, like floods or earthquakes, require additional coverage. Depending on where you live, you may need this additional coverage to protect you against perils that are more common in your area. If your home or property is damaged or destroyed by a cause not covered in your insurance policy, it’s likely that your claim will be denied.
3. Failure to Disclose Information
When you submit a claim, your insurer looks at the information you’ve provided to them about your home. If any aspect of your application is found to be false, your claim will be denied, regardless of whether the error was intentional or not. Be completely honest when applying for a policy, and if anything changes, provide prompt updates to your insurer so that their records remain current.
4. Neglect or Lack of Maintenance
All homes experience normal wear and tear, and without proper maintenance, they can be severely damaged over time due to negligence. It’s your responsibility to address maintenance issues with your home. If your insurer finds that the damages you’ve sustained are due to negligence on your part, you may see your claim denied.
5. Late or Incomplete Filing
When your home or property is damaged, don’t wait to file a claim! Insurers typically have specified timeframes during which you can file a claim (for example, within 30 days). Missing this crucial deadline may result in a denial, even if your claim is otherwise legitimate. Check your policy to find out what the deadline is for your claim.
Ensure Your Home is Covered with Douglas Cost Guide
Avoiding these common pitfalls is much easier when you know the exact value of your home and property. That’s where the Douglas Cost Guide comes in. Trusted by insurance professionals, Douglas Residential Cost Guide is the ultimate resource for assessing the value of your home to ensure you have the coverage you need. Subscribe today and get the peace of mind you deserve!