Making successful insurance claims is an essential requisite in knowing how does insurance pay to fix water damaged floors. This article will talk about how water damage insurance works and how to make successful insurance claims.
How Does Water Damage Insurance Work?
First, you have to make an insurance claim. To make an insurance claim, you have to call your insurance company and compile your evidence.
Then, you have to meet with a claims adjuster. They will investigate the damage of your home, the extent of the damage, and its causes.
This is why you have to have your compilation of evidence so it can be shown to your claims adjuster without a problem. Then, they will determine if the insurance company should pay you for the damage.
After your claim has been confirmed, you have to find a contractor to complete the repair. Insurance companies generally have their preferred providers. However, you can still choose another provider.
Also, the payment for your water damage does not come in one check. The initial check is often an advance and not the final payment.
When your personal belongings are affected by water damage, you may receive two separate checks. If the damage is so extensive that you cannot live in your home, you will receive an ALE (additional living expenses) check. Both of these are common in floor-related water damage.
In short, you will be paid for water damage only after you have made a successful insurance claim. Your insurance claim is dependent on your insurance policy and coverage.
To be clear about the kind of water damage included in your insurance coverage, read the next part of the article.
What kind of water damages are included in the insurance coverage?
Water damage affects about 350 000 houses per year, and the costs paid by insurance companies reach up to $2.5 billion annually. On average, the claim for water damage is below $7000. Since water damage is typical and affects many homes, are all kinds of water damage included in the insurance coverage?
The short answer is no. Your standard water damage insurance coverage does not cover gradual damage, floods, neglect, and mold.
Gradual damage refers to damage that occurs over a long period. The reason why insurance companies do not cover this is that it could have been avoided.
Damages due to neglect are similar to gradual deterioration because they could have been prevented, so insurance policies do not include this in their insurance coverage. Floods, although beyond your control, are also not included in your insurance coverage.
This is because the cleaning and restoration costs after a flood can be expensive. However, you can instead avail of separate flood insurance, especially since water damage on floors is generally caused by flooding.
Not to mention, the water that has invaded your home is most likely contaminated. This means, in addition to cleaning and repair costs, you also have to have your home disinfected.
Lastly, mold is also not included because they are a symptom of a long-term problem. It is secondary damage, and insurance policies generally cover the direct damages only.
Now, you may ask, what then is included in the insurance coverage? A standard homeowner’s insurance coverage includes cracked pipes, burst water mains, and broken appliances.
All of those mentioned above are sudden damages. To be clear, the repair for the broken appliances and pipes is unlikely to be covered by the standard homeowner’s insurance.
What to do to strengthen your water damage claims?
Incurring water damage does not always lead to successful insurance claims. However, the following tips may be used as a guide to strengthening your water damage claims.
1. Know the types of water damage claims
For your reference, here are the common water damage claims. This may help you in the assessment of your home’s water damage.
On the top of the list is plumbing supply system failures. This kind of water damage incurs a 48% loss that can reach an average of $5,092 per water damage incident, taken after the deductible.
Second on the list is toilet system failures. This can either be caused by toilet water backing up into the house or the water supply line failure.
Flood is the most common claim for water damage on floors. However, this is more likely to be covered by flood insurance than a standard homeowner’s insurance.
2. Document and compile receipts
After assessing the water damage and knowing the most common water damage claims, document the water damage in your home—document the leaks, the damaged furniture, and the water stains. After that, ensure that you have receipts for maintaining your household.
Also, contact your lawyer to review your insurance claim. Your lawyer can also help you in case your insurance provider denies your claim.
Water damage on floors is not an easy issue to deal with. This is why it is essential to know how does insurance pay to fix water damaged floors to understand what kind of insurance you have to avail. We hope this article about water damage insurance was able to help you in that area.