Every insurance company has its own way of handling a claim. When you signed your policy, your insurance broker probably sent you information about it. That may have been a while ago, and not every situation merits a claim.
You’re not alone if you’re unsure when to make an insurance claim. Understanding your policy and the process can help, but your broker is your biggest ally.
Deciding Whether to File a Claim
Before you call your insurance company’s direct claims line, call your broker. Remember, your broker isn’t employed by the insurance company that holds your policy. If you call the insurance company’s direct number, they could record the details of your call and reference them later.
A Word on Whether to File
It makes sense to file a claim when there’s significant damage or liability involved, such as wind damage from a tornado or a dog bite.
Deciding whether to submit a claim gets tricky when the damage is minor, or no liability is involved. For example, let’s say you have a small kitchen fire that causes cosmetic damage to the wall. The cost of repairing it is $2,500. Your deductible is $1,500. It might be better to pay it yourself to keep the claim off your insurance record.
We can help you decide whether to file a claim and advise you on your rights.
An Overview of the Claims Process
Insurance companies have their own claims departments, each with its own procedures. There’s no single process across all companies, but there are commonalities.
Wondering how to handle an insurance claim? Here’s what to expect.
1. Report the Incident, Damage or Loss
- After you have an accident or loss, report it. This report is called the first notice of loss (FNOL).
- If you call your broker to discuss whether to file, this is not the FNOL.
- If you call your insurance company to report a claim, this is the FNOL.
2. Policy Verification
Your insurance broker or company will verify your policy’s coverage. If you’ve consulted with your broker first, they’ll tell you about your limits and deductibles. They’ll also advise you on whether to file a claim. If you decide to file, your insurance company will review this info again. Just because they’ve opened a claim doesn’t mean there will be a payout. They may need to investigate first.
3. Documentation of the Claim
You’ll need to provide details about the claim event. Document the incident with pictures, videos, receipts, expenses, witnesses, and other evidence.
Be honest. Don’t exaggerate or offer info they didn’t request. Treat this process like a legal testimony. What you say will be recorded and can influence your outcome.
4. Investigation and Evaluation
Once submitted, a claims adjuster from the insurance company will investigate. They’ll conduct interviews, visit the site and review any documents you’ve provided. Adjusters are professionals who understand how to assess losses and look for signs of fraud or exaggeration.
5. Claim Approval or Denial
Your claim will be approved or denied based on the adjuster’s report and your policy. If approved, the settlement amount is calculated.
If you agree, the process moves to payment. If not, it heads to dispute resolution.
6. Disbursement of Funds
Once approved, the funds go to you or the service provider. You’ll pay your deductible, and the insurer will pay the rest.
For example, if repairs cost $9,500 and your deductible is $500, you’ll pay $500. The insurance company pays $9,000.
7. Dispute Resolution
Don’t sign anything if you disagree with the settlement or the claim is denied. You can hire a licensed public adjuster or insurance claim attorney to support your case.
8. Claim Closure
The claim is closed when everything is resolved and payment is made.
A Stronger Claims Experience with Wedgwood Insurance
We know how overwhelming the claims process can be. That’s why we’ve brought on Jason Hicks as our new Claims Relationship Manager at Wedgwood Insurance.
Jason oversees claims in our Commercial and Private Client portfolio. With over 20 years of experience on the industry’s adjuster and insurer sides, he knows exactly how to navigate even the most complex claims. His proactive approach ensures our clients get expert guidance, clear communication and tailored solutions that meet their unique needs.
Whether it’s a straightforward auto claim or a detailed commercial loss, Jason’s leadership reinforces our commitment to delivering personal, dependable service when you need it most.
Call Your Broker for Help Deciding on a Claim
Every claim is different. Some are obvious, like property damage from severe weather. Others aren’t so clear. Either way, call your broker first. They’ll help you decide what to do next, guide you through the steps, and always act in your best interest.
Need help on how to handle an insurance claim? We’re here to make sure you never go through it alone.
About Wedgwood Insurance
Wedgwood Insurance has offices in St. John’s & Corner Brook and is Newfoundland & Labrador’s largest independent insurance broker. We provide straightforward home, auto & business insurance advice.
With over 315 Google My Business reviews, experience the Wedgwood difference with expert advice from our dedicated team. We ensure that every client has the coverage that best suits their needs through upfront complimentary consultations and midterm reviews.
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