3 Things Never to Say When Making a Home Insurance Claim
Having theft or damage to your home can be devastating, both financially and emotionally. If your home is broken in to it can be a huge invasion of privacy which makes you feel unsafe in your own space. If your home has fire or water damage and you lose personal belongings, you'll never be able to recover the sentimental value of those items. That's hard to deal with.
After you get over the emotional part of damage or theft to your personal space it's time to deal with the financial aspect of getting your home back to a livable status and replacing your items. This means filing a home insurance claim with your insurance company. I’ve never had a home invasion to deal with, but I know what it’s like to work with the insurance company when your home is flooded.
Everything you say and do with your insurance company from the first second you pick up the phone is documented. There are a few things insurance companies look for to lower the amount of your claim as well as the payout. So be careful.
If you're making a home insurance claim never say these three things:
1. "That's not how it was with my last claim"
Frequent claims are a red flag for insurance companies. Not only can it harm the chances of your claim being approved, but several claims can make your home insurance premiums skyrocket. It's also hard to change insurance providers if you've made multiple claims in the past.
Popular finance website Bankrate says that frequent claims "can be noted in homeowners' history files, causing insurers to view them as greater risks for filing future claims. These homeowners could face higher premiums or outright cancellation of coverage." Keep your claims to a minimum and only file what you really can't afford to replace.
2. "My items are worth more than that"
As a homeowner, you want to negotiate the value of your items to ensure you get the maximum payout on your home insurance claim, especially when it comes to valuables. Talk is cheap when it comes to filing a home insurance claim, though. What you really need is proof in black and white.
It's hard to ask for a higher valuation on your personal belongings or your property if you don't have proof of the value. Always keep receipts when buying big ticket items and keep a regular inventory of your belongings as well as the state of your property. I like to take video every year of all the rooms in our home which shows our furniture, clothes, electronics, and other items of value and interest.
3. "But my deductible was lower with my previous carrier"
Changing insurance providers frequently is a no-no in the insurance world. Your current insurance company doesn't care about your previous coverage. They care if you've filed a lot of claims, but your previous agreement is a moot point when filing a home insurance claim with your new provider.
If you're at the point when you're filing a claim, the deductible is also irrelevant because the contract has already been agreed upon and signed. The time to negotiate your deductible is when you're applying for home insurance, not when you're filing a claim.
If you are thinking about changing insurance providers use our online tool to get several quotes in just a few minutes.