The aftermath of property damage due to fire is distressing and difficult to navigate. But not when you have your fire insurance by your side.
The fire insurance policy offers financial support in times of distress due to fire, burglary and damage. However, it will not get you through the technical yet straightforward claim procedure. Since there are a lot of parties involved, the claim procedure can get a little tricky, but it is functional, nonetheless.
If there is a dispute during the fire insurance claim process, you can navigate it without any stress if you know the right procedure. Keep reading to know more.
Table of Contents
Fire and Burglary Insurance: Basics
An insurance policy that offers financial coverage for losses and damages caused by fire, lightning, burglary, explosion and implosion is called a fire and burglary insurance policy. It covers the building, commodity, loss of rent, additional expenses, personal accident, third-party liability and loss of money per the policy terms.
While a fire insurance policy has a straightforward claim process, a dispute may arise in certain situations. Dealing with fire insurance disputes demands you follow a structured approach to ensure your claim is processed smoothly and fairly.
Resolving Disputes and Raising Fire Insurance Claims: The Process
1. Be Prompt
The first thing you need to do is call the emergency services to control fire and further damage. Make haste and ensure that the fire does not exceed anymore to control loss and damage.
2. Thorough Documentation of Damage
The insurance provider will need evidence of your claim. When you say your business or residential property has been damaged by fire and you need to raise a claim for coverage, the insurance company needs proof of the damage. Take photos and videos of the affected areas.
Ensure that you capture detailed pictures and videos of the damage and make a list of the lost items in parallel. There are many examples of fire insurance cases where the insurer rejected a fire insurance claim due to a lack of documentation, such as photographs and videos.
3. Review Policy Coverage and Inclusions
Carefully read the fire insurance claim policy coverage, inclusions and exclusions. You must familiarise yourself with the features, benefits and limitations you have to financially protect yourself using your fire insurance. This will help you understand your rights and will offer valuable insights about what to expect and how to proceed.
4. Contact the Insurance Provider
Once the above steps are completed, you must call the fire insurance company and inform them about the incident as soon as possible. Prompt reporting is essential to initiate the claim procedure. You will have to provide all the necessary information and documentation to the agent or the provider.
Make sure you have clear communication for a smooth procedure. Trusted insurers like Tata AIG offer round-the-clock customer support for their insurance plans. This can go a long way in helping you file a claim smoothly in your times of distress.
5. Seek Professional Help
In fire insurance disputes, the policyholder is usually overwhelmed and can make blunders without knowing. In order to avoid any hassle that follows such mistakes, you can seek professional help. If you hire a surveyor or loss assessor, they might help you proceed in a direction that benefits you.
6. Understand the Policy Terms
When you raise a claim, you must be completely aware of the policy terms and conditions, like the deductibles you have chosen, limits, exclusions, riders and the scope of coverage the policy offers. This knowledge will help you set realistic expectations, informing you of your rights as well as duties.
7. Raise an Appeal If You Disagree
The fire insurance company’s surveyor will make a visit to the affected property. This professional will assess the loss, damage, cause and genuinity of the claim. After a thorough inspection from their side, this person provides their assessment to the insurance company.
In this case, your claim can be approved, rejected or insufficient. If you have any objection regarding the rejection of the insufficiency of the claim, you can raise an appeal. You can also seek help from your loss surveyor in order to be on the safer side. These professionals can help you negotiate with the insurance company and ensure fair settlement.
8. Maintain Detailed Record
Maintain all the records of your communication, either on the mail, letters or phone calls. This documentation will keep you safe and secure and help you with the claim process.
Conclusion
Fire insurance is one of the most important business and property insurance policies. Every small and medium enterprise is advised to buy a fire insurance policy in order to safeguard their business property and finances from any kind of fire-induced damage.
Fire insurance disputes are difficult to resolve. However, with proper process and righteous claims, one can receive their rightful insured sum.