By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Financial Slot
  • Home
  • Business
  • Insurance
  • Wealth
  • Investment
  • Cryptocurrency
  • Loans
Reading: Simple Mistakes To Avoid When Filing Insurance Claims
Share
Aa
Financial Slot
Aa
  • Home
  • Business
  • Insurance
  • Wealth
  • Investment
  • Cryptocurrency
  • Loans
Search
  • Categories
    • Business
  • Bookmarks
  • More Foxiz
    • Sitemap
Follow US
  • Advertise
© 2022 Financialslot.com. All Rights Reserved.
Financial Slot > Insurance > Simple Mistakes To Avoid When Filing Insurance Claims
Insurance

Simple Mistakes To Avoid When Filing Insurance Claims

Kreg Bale
Kreg Bale September 15, 2020
Updated 2020/09/15 at 6:33 AM
Share
9 Min Read
Filing Insurance Claims
SHARE

Anyone operating one form of insurance coverage or the other tends to take certain wrong steps when filing a claim which brings up the need to discuss the mistakes to avoid when filing insurance claims.

The mistakes in question are often very negligible and easy to commit but the impact they have may be grievous and that is why it is very important to avoid them.

Simple Mistakes To Avoid When Filing Insurance Claims

Failure To Go Through Your Policy

This is one mistake some policyholders make when filing insurance claims. For you to properly secure your business or whatever thing that is being insured from losses, there is a need for you to have a proper understanding of what the insurance policy you opted for covers. Be patient enough to read through the policy because that is the only way to know the risks that are covered.

Go through the entire terms of the contract and if you have a challenge in understanding anything, seek the help of your broker or agent. Also, be very sure that you understand the obligations that will qualify you for payment for loss suffered.

- Advertisement -
Filing Insurance Claims
Filing Insurance Claims

Delay In Notifying About A Loss

This is one of the conditions contained in several insurance policies. It says that when you incurred a loss that your insurance policy covers, it is important that you notify your insurer immediately.

It is easier to make adjustments on claims when an accident just occurred because the evidence will still be fresh, but when you delay in making your complaints, your insurer may find it challenging to believe the severity of the damage hence making your claims unsuccessful.

According to the commercial property form standards and ISO general liability, it is expected that your insurer is notified immediately a loss occurs.  Failure to make prompt notification will be regarded as a breach of contract and you may be denied your claims.

Improper Documentation

Before you can lay hold of your entitlements as a result of a loss, there’s a need for you to have detailed information to qualify for a claim. Some of the information your insurer requires is clearly stated in the conditions. For instance, it is expected that you provide complete details of both damaged and undamaged properties. It must include the costs, values, quantities, and the amount that you are claiming, the evidence of loss incurred which may include videos, photos, and written records.

Also, make documentation of every discussion you have with your insurer and any other person regarding your claim. Retain copies of every document given or mailed to your insurer.

Lack of Cooperation With Your Insurer

This is also one of the several mistakes to avoid when filing insurance claims and this is because according to the ISO commercial property, it is expected that you cooperate with your insurer during the period of findings relating to a claim for a loss or damage. Failure to do, your insurer can use it as a ground for delaying payments for the damage or depriving you of the privilege to get the coverage.

Refusal To Retain Damaged Property

This may arise when you are ignorant of certain rules. For instance, you incurred damage caused by fire or some other factor, you may want to discard the damaged property because you properly felt that there was no use keeping it. Well if you have the intention of claiming payment for the loss, it is advised that whatever thing that was damaged must be left exactly the way the havoc occurred until it is inspected or examined. This is another requirement under the property policy.

More so, the affected property should be properly kept to avoid further destruction of it. Failure to do so can result in loss of proof that is needed to approve the payment for the loss.

The business auto policy has it in its requirements relating to the inspection and protection of damaged property. In a scenario, where you insure your car under collision or comprehensive, you must ensure that the car does not encounter further damage and also, make sure that proper inspection takes place on the car before any form of repair is carried out.

Non Involvement Of The Police.

Where you have encountered a loss as a result of a law being broken by a third party either a neighbor or thief and there is evidence to back it up, the standard commercial property demands that the police should be contacted. An example of such includes a security gadget that reveals a robbery case. This case is referred to as burglary and it is a crime. So for this reason, the police must be informed. The involvement of the police may also be applicable in the case of an accident. Note that a report from the police concerning a case can help to assist the process of your claim.

Making An Out-of-Pocket Payment To A Third Party’s Claim

A third party may have sustained some injuries while on your property, it will not be proper for you to make a payment from your pocket instead it is expected that you opt for an insurance claim. This is because the real effect or impact of the accident may not be revealed at the point of the accident until after some days just like some injuries will not appear to be serious until after some days.

Besides, according to the ISO general liability form, it is prohibited for an insured person to make voluntary payment for damages over property that is under insurance coverage without the consent of the insurer. Although a first aid may be applied where necessary to save the situation from a further loss.

Your claim may be rejected if you have gone to make payments for a loss without consent to recover the money you spent. This is because it will be termed as a violation of the insurance policy.

Taking Responsibility For An Accident

In an accident where someone else gets injured or encounters some damages on their property, don’t be quick to accept fault because you may not know the real cause of the accident as the cause may be different from your thoughts. The liability policy refuses policyholders from taking responsibility for faults without the consent of the insurer.

Conclusion

By carefully considering some of the mistakes to avoid when filing insurance claims that have been listed above, you will save yourself from a lot of troubles that may arise and you will find it easy getting payments for your insured property when damage or loss occurs.

 

 

You Might Also Like

How to Get the Most Out of Your Car’s Warranty

 How to Use Life Insurance to Build Wealth

How to choose the right box truck insurance partner for your trucking business

Four Tips for Finding the Right Business Insurance Policy

Discover The Most Popular Disadvantages of Captive Insurance

Sign Up For Daily Newsletter

Keep up! Get the latest breaking news delivered straight to your inbox.

By signing up, you agree to our Terms of Use and acknowledge the data practices in our Privacy Policy. You may unsubscribe at any time.
Kreg Bale September 15, 2020
Share this Article
Facebook Twitter Whatsapp Whatsapp LinkedIn Email Copy Link Print
Share
Previous Article how to get a bank loan How To Get A Bank Loan: Important Steps To Make You Eligible For A Loan
Next Article Apps you can use to start a side hustle 6 Top Reasons Business Partnerships Fail
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

- Advertisement -

Latest News

What is a Pay Stub
What Is A Pay Stub? Benefits Of Using A Pay Stub Creator
Business March 16, 2023
Jobs Available in Finance Customer Service 
Jobs Available in Finance Customer Service 
Jobs January 26, 2023
Is Electric Utility Central A Good Career Path
Is Electric Utility Central A Good Career Path? 
Business January 26, 2023
How to manage a crypto portfolio
How to manage a crypto portfolio 
Business Cryptocurrency December 22, 2022

You Might also Like

How to Get the Most Out of Your Car’s Warranty
Insurance

How to Get the Most Out of Your Car’s Warranty

October 6, 2022
 How to Use Life Insurance to Build Wealth
Insurance

 How to Use Life Insurance to Build Wealth

September 22, 2022
box truck insurance
Insurance

How to choose the right box truck insurance partner for your trucking business

September 21, 2022
Finding the Right Business Insurance Policy
Insurance

Four Tips for Finding the Right Business Insurance Policy

August 23, 2022
//

We educate over 20 million users on personal finance, wealth and asset management through our network of finance blogs

Sign Up for Our Newsletter

Subscribe to our newsletter to get our newest articles instantly!

Financial Slot
Follow US

© 2022 Financialslot.com. All Rights Reserved.

Removed from reading list

Undo
AdBlock Detected
Our site is an advertising supported site. Please whitelist to support our site.
Okay, I'll Whitelist
Welcome Back!

Sign in to your account

Lost your password?