Insurance Claim After Fire Damage
Hello, Our home was damaged by a neighboring fire yesterday. We have water damage, smoke damage and a lot of damage from the Fire Department having to break and enter into our house (no one was home at the time). This is our first experience dealing with an insurance claim. Should we use an Insurance…
Hello,
Our home was damaged by a neighboring fire yesterday. We have water damage, smoke damage and a lot of damage from the Fire Department having to break and enter into our house (no one was home at the time).
This is our first experience dealing with an insurance claim. Should we use an Insurance Adjuster or deal directly with our company? (we are with AllState). Also, there is a company called RestorationSOS that comes out in the aftermath of a fire and does damage assessment and decontamination. They say they bill the insurance company directly. Anyone with any experience of this?
Any advice on how to go through this process and best practices greatly appreciated.
Thanks
Dave
Thank you for everyone taking the time to post advice. We informed AllState Monday and so far its Wednesday and they have not sent anyone round yet to evaluate the damage. They did send someone to tarp the roof and someone is coming today to do some smoke cleanup. In the meantime, we may go with an adjuster as I’m concerned about some of the longer term damage such as water in the walls that will not show for a while.
Thank you.
Dave
RE: emergency restoration companies. Assuming you have no residual water on site, you’re a bit late for mitigating water damage (needs to be mitigated w/in 24 hours to avoid long term damage). Smoke damage will only be cleared by a thorough cleaning but assuming you can live with the smell, you can hold off on that until you do the rest of the repairs. That leaves the actual physical damage to the property which an emergency repair company will NOT return to original condition. They will instead, by their very nature, make the facility safe and secure until such time that a proper repair can be done. So, my feelings are that you should not hire one. Find a handyman that can fix the door etc etc in such a way that you can live with for 2-3 weeks and then immediately start to look for a contractor to quote and/or perform the final repairs. Your insurance company will likely sign off immediately on emergency repairs but full repairs to original condition could take a bit of time, depending on the scope of work.
RE: adjusters. I agree with the above replies. There are good and bad adjusters out there and further research is warranted. That said, the one thing that an adjuster can help with is that they understand how to account for the long term affects of the fire. For example, you will have water damage which might not manifest itself for several years (reduced structural capacity, mold, floor warpage etc), long after your claim is closed. You might be well advised to find an adjuster that you trust and that is non-confrontational to assist you in the process of filing the claim.
Sorry to hear about your situation. Having been there more than once, I can empathize with your plight.
Yes, Public adjusters do have police/fire scanners and are regularly refered to as “Abulance Chasers” of the insurance world.
first thing is first. notify them of the loss.
After that, I would get several estimates of the damage. Allstate is notorious for lowballing so be prepared for that. There’s even a book about it:
From “Good Hands” to Boxing Gloves –
How Allstate Changed Casualty Insurance in America
The Definitive Guide to Handling Allstate Claims
by David Berardinelli, JD
Michael Freeman, Ph.D., D.C., MPH
Aaron DeShaw, D.C., J.D.
Foreword by Eugene R. Anderson, Esq.
PS I havent read the book but can verify that allstate is often less than generous.
We had a major water break in our home and AllState came out the next day and told us to get quotes. Almost all the 100 year old floors in our house warped and they paid the quote we got from our contractor with out any hassle.
We had friends who had their house burn to the ground in Brooklyn and even before the fire dept had put out the fire there were two different independent adjusters at the scene offering their services. Must have a police/fire scanner.
Ysabelle – No offense but many are shysters, not “Professionals”.
There is a reason they dont charge by the hour – There is an inherent conflict of interest for any “Professional” that charges a % of amount recovered.
Settling insurance claims is tricky that is why you need someone on your side. Such as an adjuster.
To Dave
Call ny state insurance. 1-518-474-6600 .They regulate the whole industry in ny.
Ask them for a list of insurance adjusters.
It is a legit profession.
I suggest you do this first.
Any questions about insurance, they are the experts.
I work with insurance companies on a regular basis. Just be warned that hiring a public adjuster can put the insurance company into immediate “Defensive” mode, meaning they will be much more agressive and play hardball.
Hiring a public adjuster who has an obvious financial stake in inflating your claim as much as possible always sends red flags up at insurance companies.
I would work with the insurance company before hiring a PA. Get multiple quotes/estimates for the damages, and negotiate from there. If you feel they are definately screwing you then threaten to hire a PA and bring one in if necessary.
Public Adjusters dont always cover the up to 12% fee they charge with their inflated claims. Beware and be smart and you should do fine.
As for the restoration company – call your insurance company and ask if this is covered. If you sign an agreement with them, make sure they will not be able to go after you for unpaid amounts. These guys can also be very shady and may tell you one thing and do another. They are also notorious for over-billing and then going after the homeowner/business owner for unpaid amounts. Remember, you are signing the contract, not the insurance company.