When it comes to your home and the contents in it, it’s understandable that you’ll do everything in your power to protect it all. It’s likely your biggest investment, as well as the epicentre for many of your fondest memories.
One way to be a responsible homeowner is to purchase the right homeowners insurance coverage. You can achieve peace of mind knowing that you are covered should something happen to your property.
Except what happens when you file a claim and your claim gets denied? It’s more common than you think; however, the good news is that it can easily be avoided.
Here are six reasons why your homeowners insurance claim in Crowley might have been denied. Arming yourself with this knowledge, you can help ensure your home is always protected by talking to a Farmers insurance agent near you.
1. You Delayed Filing the Claim
As with any insurance claim, you have a limited window of opportunity to submit your claim. Most homeowners insurance agents in Crowley require you to inform them about any loss of property immediately.
Due to the time-sensitive nature of filing homeowners insurance claims, you will most likely be required to provide substantial evidence to support your claim. If you miss an important deadline or you neglect to provide all the required documentation promptly, your homeowners insurance company has the right to deny your claim.
Therefore, make sure to take plenty of photos of the damage and make detailed notes, so that you can prove your case to your insurance company.
2. You Lied about the Loss
Honesty is always the best policy when filing a homeowners insurance claim. Typically, after you file a claim, your homeowners insurance agent in Crowley will send an adjuster to thoroughly investigate your claim.
If you make any false or misleading statements in your claim and the adjuster finds out, your claim can be denied—even if it’s an otherwise valid claim. This applies to claims where you intentionally damaged your property, were negligent, or exaggerated the damage.
Not only could lying about how your property got damaged or stolen result in your claim being denied—or even your policy being cancelled—but you could also get into trouble with the law. After all, lying on a homeowners insurance claim is a fraud. In this case, you may be arrested or required to pay fines.
3. You Were Never Covered for the Damage
When was the last time you reviewed your homeowners insurance policy? Chances are that there are exclusions to your policy, meaning your policy doesn’t cover you for certain types of damage.
Even if you purchase an all-risk home insurance policy, some common exclusions you might notice include damage from flooding, volcanoes, insects/rodents, and illegal activity (more on that later on). If this is the case for your policy, you might want to consider talking with your Farmers insurance agent in Crowley about getting additional coverage to protect yourself from some of those exclusions.
It’s always best to know all the details of what type of homeowners insurance coverage you have before you need to file a claim.
4. You Forgot to Pay Your Premiums
Sometimes, something as minor as forgetting to pay your premium or monthly bill can end up having disastrous consequences. Even if the non-payment were a small oversight on your part (e.g. you forgot that you switched to online billing or you thought you made a payment when you didn’t), it could affect your coverage.
In the event that you need to file a homeowners insurance claim, if you haven’t kept up to date on your payments, your claim will most likely be denied. While many homeowners insurance agents in Crowley may give you a break if you miss one payment, missing more than one payment is never a good thing.
Your home is one of your most valuable assets, if not the most, so you should do everything in you power to ensure that it is covered at all times.
5. You Didn’t Disclose All Information
When you apply for homeowners insurance in Crowley, you may be tempted to leave some information out or fudge some of the details, such as the age of your furnace or the type of electrical work you have in your home in order to get a better rate. Don’t do this!
It’s extremely important to disclose all information, including any underlying issues with your property at the time of policy purchase, otherwise your homeowners insurance coverage could be affected. Your insurance provider could argue that you were negligent and failed to maintain your property, which is grounds for denying your claim.
Even if you are honest from the get-go and decide later on to make minor changes to your home, you still need to notify your homeowners insurance agent in Crowley about the changes. For instance, renovations such as a swimming pool, alarm system, new roof, electrical upgrades, or additions to your existing home could significantly alter the value of your home.
Should you suffer a basement flood or fire, but you forget to notify your homeowners insurance agent about your recent basement renovations, you might only get a payout based on the original value of the home, not the new value.
6. You Were Involved in Criminal Activity
Lastly, your homeowners insurance coverage does not include damage caused by criminal activity. For instance, if you are operating an illegal marijuana grow-op in your home and suffer fire damage, your homeowners insurance agent in Crowley can and will deny your claim, because illegal activity is a policy exclusion. Furthermore, you may also lose your homeowners insurance coverage altogether.
Never take part in illegal activities on your property or allow tenants that you suspect might be involved in criminal activity. If your insurance agent finds out that your property damage is due to unlawful behavior, negligence, or intentional recklessness, you likely won’t get a payout.
Get the Protection and Peace of Mind You Need
Are you looking for a reliable and trustworthy homeowners insurance agent in Crowley, Texas?
At Farmers Insurance – Crystal Schuder Agency, we’re committed to helping homeowners in Crowley and other counties across Texas get the right home insurance coverage for their unique needs. Your home is one of your greatest assets; it’s not just where you live, it’s also where you make your most precious memories. Although nothing can ever replace it, we can give you peace of mind knowing your home is covered in case of a disaster. Contact us today if you’re looking for homeowners insurance in Crowley.