Consumer alert: How to make sure your building insurance pays your claim in full

ROCHESTER, NY – Rain, hail and tornadoes. We’ve seen it all in the last few days. And thousands in our area are now calling their insurance companies. This consumer advisory is a guide on how to make sure your home gets repaired and your insurance pays the bill.

I know this. It was a six-month battle to get my insurer to pay for my roof repairs. The first estimate my insurer gave me to repair my roof was about $720. But I knew it was more because I got three estimates from reputable roofers before the adjuster came. And so the battle began. And after six months, my insurer agreed to the actual cost of the repairs, which was just over $11,200. Their original estimate was one-sixth of that. But to win our lengthy dispute, I had to educate myself about my policy and the process of installing roof shingles.

After the storms that hit our area, some of you will be filing insurance claims. The first thing you need to do is take photos, and lots of them. They are absolutely essential to getting your home properly repaired. Then you need to call your insurer and report the damage immediately. Next, get estimates from three reputable contractors.

The nonprofit American Policyholder Association is a consumer protection organization focused on the home insurance industry. It offers a practical guide to filing claims and resolving disputes. I interviewed Doug Quinn, the group’s executive director, via Zoom.

“Be an educated consumer,” Quinn said. “Understand what your policy covers. And make sure you’re armed to fight for it, and don’t accept a penny less than you’re owed. We don’t want to take advantage of the insurance companies. They shouldn’t pay a dollar more than they owe. But they certainly shouldn’t pay a consumer less than they owe.”

He stressed the need for photographic evidence of the damage, saying: “The burden of proof is on you, so you should take lots of photos and lots of documents and make clear the condition of the property before and after the event. You should keep detailed files. Many people have difficulty keeping good records. If you are speaking to someone from the insurer, it is generally preferable to communicate by email.”

He also suggests that you videotape all inspections, noting the time it takes the adjuster to assess the damage.

To be clear, it’s not fair to assume your insurer’s initial estimate is too low. It might be fair and accurate. But you don’t know that unless you’re an informed consumer. Here’s Deanna’s post-storm to-do list:
• Read your insurance policy.
• Find out about your contractor.
• First, talk to friends and neighbors and get recommendations.
• Then make sure those contractors are members of the Better Contractor’s Bureau. Google them.
• Ask your contractor at least these three questions: Are you insured? Can you provide references? Do you have someone in your office who is familiar with the claims process and can answer my questions?
• After you hire a contractor, ask him or her to be at your home when the insurer’s inspector arrives.
• Find out about your repair.
• And if you cannot reach an agreement with your insurer, hire a claims adjuster.

Click here to access the American Policyholder Association’s resources for homeowners.